China vows to shave taxes by $17.3 billion a year, says report

Plans more tax and fee cuts next year to help struggling businesses

China will extend some favourable income tax policies to ease the burden for middle- and low-income groups, state media said on Wednesday, quoting a cabinet meeting chaired by Premier Li Keqiang. The measure is expected to cut taxes by 110 billion yuan ($17.3 billion) a year, the cabinet was quoted as saying.

China will further cut taxes and fees next year to support struggling businesses, the finance ministry said on Monday, echoing pledges from the annual Central Economic Work Conference held earlier this month, an agenda-setting meeting of the country’s top leaders.

Preferred tax policies on annual bonuses will be extended until