China to step up support for small firms, expand tax breaks

China will step up its support for small firms by expanding tax breaks, the cabinet said on Wednesday, the latest step to support the slowing economy and create more jobs. From October 1 until the end of 2017, small firms with annual revenues of 300,000 yuan ($46,907) or less will be allowed to pay half of normal income tax rates, the cabinet said.
Currently, companies with annual revenues of 200,000 yuan or less are subject to such tax breaks. The preferential value-added tax policy on small firms with monthly sales between 20,000 yuan and 30,000 yuan will be extended to the end of 2017 from the end of this year, it added.