In the year entering to the 11th year, we experienced ‘a real life likes a move’. As different ways have been used to handle the COVID-19 in different countries, the atmosphere among us is still scary and full of fear. Gratefully, in our daily life, wonderful moments have been strengthening our confidence. 

Business environment

If it is the case that USA Tariff matter have been influencing partial enterprises and staff, we could say very few people could release from the COVID-19. Concerning what an enterprise concerns, government provided supporting policies including the reduction of social insurance fees, taxes and loosing foreign business operating limitation scope.

Per our knowledge, in the past 30 years, it is the first time government launched the grand on the social insurance fees. Approximately, the deduction range is approximately around 14% to 15% at a salary amount.  Samples  with comparisons are provided referring to the lowest salary CNY2,200 allowed and CNY10k are shown as below. 

The reductions include Retirement Insurance, Unemployment Insurance and Working Injury Insurance.

These deductions are granted to small and medium enterprises and individual industrial and commercial households. Large enterprises and other units will be levied by half.

The permitted period is from Feb.2020 to June 2020 and then extended to Dec. 2020. 

A deduction comparison for Social Insurance fees before and after supporting policy：

http://hrss.sz.gov.cn/szsi/sbjxxgk/tzgg/simtgg/content/post_6881940.html

http://hrss.sz.gov.cn/szsi/sbjxxgk/tzgg/simtgg/content/post_7939663.html

Tax preference

 VAT taxable rate is reduced to 1% from 3% for Small Tax Payable. The grant is based on the sales recognized between Mar.2020 to Dec.2020 with an extension. VAT invoices accordingly is issued at rate 1% the same as tax  rate subjected.

http://www.chinatax.gov.cn/chinatax/n359/c5145334/content.html

http://www.chinatax.gov.cn/chinatax/n359/c5149525/content.html

The policy of delaying the payment of income tax for Small andLow-Profit Enterprises (SLPE)’s annual profits

During the period from May 1st,2020 to Dec.31st,2020, SLPE’s Corporate Income Tax may deferred to the first CIT collection date after quarterly declaration on time as normal. e.g., the CIT of the second quarterly will be submitted online by Jul.15th. Normally, cash automatically deduction will be proceed immediately after filing submittion. With the permitted deferral, cash automatically deduction isn't completed.  

http://www.chinatax.gov.cn/chinatax/n362/c5150528/content.html

Interest rate for SLPE also is reduced from5.75% to 5.25% and then 4.95% in Construction Bank and even lower in some ofthe the other banks or under different channels.

As a purpose to maintain a safe and fair business environment for maximum companies, bank account maintenance requirement is getting much stricter. Any expiration of the passport of a keybeneficial person of a bank account can cause a bank account lock. If bank account is locked, it won’t be able to receive and release payment till an application issubmitted and accepted.

Bank account will go normal after un-lock application with valid documentation required including an original valid passpor. 

Certain business scopes for foreign enterprise also are looser than before, e.g., forwarding and shipping businesses.

Warm moments

A young courier took a shelter from the rain in front of a garage. The sudden door noise rose and the garage door raising up. The courier was about to move his motorcycle to give way.  The other sudden sound: "Go in to avoid the rain..." The courier entered. When the rain stopped, the engine sound of the motorcycle left with "Thanks! Thank you very much...!"

Under the calls for supports from all partiesin need, the young post-90s medical and nursing partners who were seem as a peer group of with a milk tea cup bravely signed up and rushed to the frontline of the epidemic... People gave blessings with surprise and a little worry at the same time... After a triumphant return, the whole world was boiling! Positive energy burnt! Rejoicing…

Special solution in specific situation

There is a report from a TED saying that we need maternal loves in the dynamic and changing society. Maternal loves think of many people instead of her or himself. Being intangible would be more competitive than tangible. Change is the only constant rule in the world. We might change service channels but won’t change our commitments to ensure our clients quality and valuable services.

With the 11th anniversary celebration, we are glad to say that we have prepared properly to welcome changes as we know we can’t reject it. Let us move forward with enough attentions on chances those may raise up from the changes,  and welcome a dawn after a wading.