China's customs waive over 260b yuan taxes in 2020 to fight epidemic impact

China's customs waived 268.77 billion yuan (about $41.44 billion) worth of taxes last year in efforts to support epidemic control, production recovery and foreign trade, the country's customs authority said on Jan 28.

Tax cuts of up to 610 million yuan on import of epidemic prevention and control supplies were offered in 2020, according to the General Administration of Customs (GAC).

In order to maintain smooth operation of production and supply chains and facilitate work resumption, the Chinese customs had adjusted 197 tax items last year, including lowering import tax rates on certain goods, the GAC said.

Meanwhile, payment dates for some 15.66 billion yuan worth of taxes have been extended and up to 300 million yuan of overdue fines were waived.

The customs authority has also been working to stabilize foreign trade and investment, expand imports and strengthen industrial upgrading, with 83.26 billion yuan of import tariffs reduced under free trade agreements last year.

In the same period, some 104.25 billion yuan of taxes were cut as the country brought down the value-added tax rates for anti-cancer drugs and medicines for rare diseases.

China's total tax and fee cuts exceeded 2.5 trillion yuan in 2020 following the country's efforts to support the real economy, official data showed.