On September 12, 2025, the State Administration of Foreign Exchange (SAFE) issued Huifa [2025] No. 43, introducing a new set of measures to streamline foreign exchange (FX) management for cross-border investment and financing …
On August 22, 2025, China’s Ministry of Finance and the State Administration of Taxation jointly issued a new announcement clarifying and refining the country’s value-added tax (VAT) rebate policy. …
On August 20, 2025, the Ministry of Finance released its Guiding Opinions on Regulating the Construction and Operation of Government-Private Partnership (PPP) Stock Projects …
On August 12, the Ministry of Finance (MOF) outlined the details of the newly issued Implementation Plan for the Loan Discount Policy for Service Industry Operators (Caijin [2025] No. 81) …
On 1 August 2025, the State Administration of Taxation (SAT) issued the Announcement on Matters Relating to the Tax Credit Policy for Direct Investment by Foreign Investors with Distributed Profits (No. 18 of 2025) …
China has introduced the “Regulations on the Submission of Tax-Related Information by Internet Platform Enterprises”, accompanied by a detailed implementation Announcement. Together, these measures mark a significant step toward strengthening oversight of the platform economy, curbing disorderly competition, and safeguarding taxpayer rights.
The Chinese government has introduced significant revisions to the Regulations on Guaranteeing Payment of Funds to Small and Medium-Sized Enterprises (SMEs), aimed at addressing long-standing challenges related to delayed payments. Effective June 1, 2025, these changes reflect China’s commitment to fostering a fairer business environment, improving cash flow for SMEs, and enhancing financial discipline among large enterprises and government entities.
At the 2025 China Development Forum, Minister of Finance Lan Fo’an outlined China’s fiscal policy strategy, emphasizing a more proactive and coordinated approach to ensure economic stability and long-term growth. With a deficit rate of 4%, a fiscal deficit of 5.66 trillion yuan, and public budget expenditures reaching 29.7 trillion yuan, the government’s policy framework is designed to boost consumption, stimulate investment, support innovation, and manage financial risks.
Tax policy plays a significant role in shaping economic development, particularly in fostering scientific and industrial innovation. As China continues to refine its fiscal strategies, tax incentives are being adjusted to support technological advancements and industrial modernization.
As China navigates a complex global economic environment, its 2025 fiscal policy has taken on a more proactive and strategic role in ensuring both short-term recovery and long-term growth. With rising uncertainties in global trade, investment, and market conditions, the latest Government Work Report introduces a more active fiscal policy, aimed at stimulating demand, supporting key industries, and strengthening public services.