Software VAT concessions continue to be implemented

China Government Network today issued a notice issued by the State Council on certain policies to further encourage the development of the software industry and the integrated circuit industry, and clarified that it will continue to implement the software VAT preferential policies and implement taxation, investment and financing, research and development, import and export, talent, and intellectual property rights. a series of incentive policies such as market and market.

In respect of taxation support, the relevant business tax preferential policies will be further implemented and improved. Business software that meets the requirements of software companies and integrated circuit design companies will be exempted from business taxation in software development and testing, information system integration, consulting and operation maintenance, and integrated circuit design. , and simplify related procedures. For integrated circuit manufacturing companies whose integrated circuit line width is less than 0.8 micron (inclusive), they are exempt from corporate income tax from the first year to the second year after the profit-making year, and 25% from the third year to the fifth year. The statutory tax rate is halved on corporate income tax. For integrated circuit manufacturing companies whose integrated circuit line width is less than 0.25 micron or whose investment amount exceeds 8 billion yuan, the enterprise income tax shall be levied at a reduced tax rate of 15% after it is determined, of which the operating period is more than 15 years since the profit-making year. From the first year to the fifth year, enterprise income tax is exempted. From the sixth year to the tenth year, corporate income tax is levied at half the statutory tax rate of 25%.

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