Get ready for the nationwide implementation of the B2V Pilot Programme
On 10 April 2013, the State Council announced the nationwide implementation of the business tax (BT) to value added tax (VAT) transformational pilot programme (B2V Pilot Programme). This geographical expansion of the B2V Pilot Programme will take effect on 1 August 2013. While the tax base is still confined to the existing pilot industries of transportation and certain modern services, the State Council has expanded the scope of the ‛modern services’ to include the production, broadcasting and distribution of media and cinematic productions. In addition, the railroad transportation, postal and telecommunications industries will be added at the appropriate time. The aim is still to complete the B2V Pilot Programme within the 12th Five-Year Plan period (2011 to 2015). The announcement certainly marks another milestone in the country’s tax reform.
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