Online government services

By the end of the year, all the provinces should open online service platforms for enterprises, and all the materials will be processed online.

Online applications to start a business will also be available with electronic business licenses and seals to be applied in taxation, social security, the housing fund and commercial banking services.

The online approval platform of national investment projects will be optimized to realize online printing of approval files, and electronic construction permits will also be introduced on Jan 1, 2021.

Simpler and more time-saving working procedures

The time to start an enterprise will be shortened to four working days or less, and the registration procedures on residences (places for business operation) will be also simplified.

Vendors with no fixed business operation spots, and reserved business sites in free markets and the gathering of vendors will be reasonably managed.

By the end of 2020, the management of production permits for industrial products will be delegated to provincial levels and time for reviewing trademark registration will be shortened to four months on average.

The handling of construction projects will be classified and managed by categories. Small low-risk projects for new construction, renovation or expansion can be launched once government departments issue related certificates based on land acquisition and eligibility.

Taxes and fees reduced to save money for enterprises

Policies of reducing taxes and fees that should have expired before June this year, including cutting value-added taxes (VAT) of small-scale taxpayers, waiving VAT concerning services in public transportation, catering and accommodation, and tourism, entertainment, culture and sports, and cutting or exempting the civil aviation development fund and port construction fees, will be extended until the end of the year.

Smaller enterprises with modest profits and individual businesses can pay their enterprise or individual income taxes in the first tax declaration period of 2021.

From March 1, 2020 to May 31, 2020, small-scale taxpayers in Hubei will be exempted from VAT on sales subject to a 3 percent VAT levy, and they will not have to prepay VAT on items subject to a pre-levy VAT rate of 3 percent. And in other regions, small-scale taxpayers can pay VAT at a rate of 1 percent on sales subject to a 3 percent VAT levy, and prepay VAT at a rate of 1 percent on items subject to a pre-levy VAT rate of 3 percent.

And from April 15 to Dec 31, 2020, processing trade enterprises will be temporarily exempted from paying interest on tax deferred for domestic sales.

Electricity users except in energy-intensive industries will enjoy a 5 percent discount when paying electricity fees.

Smaller and individual businesses in the services sector that rent houses of State-owned enterprises should be exempted from rent for no less than three months in the first half of 2020.

Individual businesses with employees can enjoy preferential policies in endowment, unemployment and work injury insurance, and self-employed people can choose the contribution level and payment time for basic employee or urban resident pensions when they choose the scheme as individuals.

As for enterprises still struggling in production and operation due to the epidemic, their contributions to social security can be postponed to the end of December 2020, with no overdue fines.

To keep employment stable, the return of unemployment insurance premiums for medium-sized, small and micro enterprises with stable jobs will also be implemented at a faster pace.

Easier access to financing

The People's Bank of China and the Ministry of Finance will jointly use the 400 billion yuan relending quota to support small and micro enterprises.

Meanwhile, financial institutions will be encouraged to introduce more applicable credit products for small and micro enterprises, with more preferential conditions in loan amount and terms.

As to the inclusive loans for small and micro enterprises that will mature between June 1 and Dec 31, 2020, the repayment of capital and interest can be postponed (no later than March 31, 2021) without penalties.