China's overall tax on imported goods hits record low
File photo/Zhang Yun (NBD)
The overall tax rate on imported goods in China was slashed by more than a quarter during the 13th Five-Year Plan period (2016-2020), hitting an all-time low, the General Administration of Customs (GAC) said Thursday.
The overall tax rate had dropped from 21.8 percent to 15.8 percent during the period, marking a decline of 27.5 percent, said Jiang Feng, an official with the GAC, adding that the huge decline was due to China significantly reducing its value-added tax (VAT) and tariffs during the period.
However, the total amount of customs duties and taxes levied, mainly the VAT and consumption tax, on imported goods, saw an 8.7-percent growth to 8.99 trillion yuan (about 1.39 trillion U.S. dollars) in the last five years, he said.
The growth indicates that China has substantially expanded imports during the 13th Five-Year Plan period, Jiang added.