China Issues Action Plan to Enhance Policy Guidance for Scientific and Technological Innovation and Micro and Small Manufacturing Entities

On June 6, 2024, the State Taxation Administration (STA) released the Action Plan on Boosting the Growth of Micro and Small Business Entities in 2024 (the “Action Plan”), proposing 12 service measures, to be effective on May 30, 2024.

These measures include ensuring services cover the whole process in key sectors, enhancing the full-scenario and full-cycle policy guidance for scientific and technological innovation and small and micro manufacturing entities, implementing structural tax and fee reduction policies, and improving the core competitiveness of the entities. The Action Plan also plans to adopt targeted service measures for cross-border micro and small business entities with respect to policy implementation, system operations, risk prevention, and addressing of difficulties based on their needs at different stages of growth stages, and follow up the implementation of the measures.