The State Council of China determined at the cabinet meeting on March 24 that some preferential tax policies will be continued and the zero-tariff policy on coal imports will be extended until the end of 2023.

At the meeting, it was decided to continue and optimize the implementation of some phased preferential tax policies, including raising the super deduction rate for research and development (R&D) expenses from 75% to 100%, which will bring more significant tax-saving for manufacturing enterprises. Besides, the implementation of zero taxes on coal imports will be extended until the end of this year.

The above policies are expected to reduce the burden by more than CNY 480 billion a year.