China to consolidate gains in curbing arbitrary charges

BEIJING, Feb. 22 (Xinhua) -- At a State Council Executive Meeting on Wednesday, Premier Li Keqiang heard a report on the implementation of preferential policies on business-related charges and rectification of arbitrary charges. He urged further efforts to consolidate the gains in curbing arbitrary charges.

"Preferential policies on business-related charges and rectification of arbitrary charges have played a vital role in promoting tax and fee cuts and helping enterprises tide over difficulties," Li said.

The meeting noted that policies such as large-scale tax refunds, tax and fee cuts, and tax and fee deferrals were carried out last year in response to the changing market dynamics and the needs of market entities.

These efforts have helped, in an equitable and inclusive manner, market entities, especially micro, small and medium-sized enterprises (MSMEs) and self-employed households, overcome difficulties, and played a key underpinning role in keeping jobs stable, meeting people's basic needs and maintaining stable macro economic performance.

Keeping in mind the larger interests, various localities and competent departments carried out productive work and launched special rectification campaigns to promote the delivery of preferential policies on business-related charges, including temporarily deferring payments of 14 government-levied charges and certain deposits, cutting or waiving highway tolls for trucks, reducing or merging charges at ports, and subsidizing utility bills.

Under government supervision and guidance, financial institutions lowered the prices of paid services, and industry associations and chambers of commerce reduced or canceled fees. The special rectification campaigns helped enterprises save over 210 billion yuan (30.54 billion U.S. dollars).

In addition, unwarranted charges on enterprises were rigorously redressed, with more than 7,700 related problems being investigated and dealt with nationwide, involving more than 5 billion yuan. All of the problems identified have been ordered for rectification.

"Efforts to curb unwarranted and arbitrary charges must be followed through, to prevent resurgence of irregularities and foster an enabling business environment for enterprises," Li said.

The meeting stressed that while economic growth is stabilizing and recovering, various challenges remain. MSMEs and self-employed households still face difficulties in their operation.

Actions to curb unwarranted charges on businesses must be closely aligned with the implementation of the relief policies for enterprises, and the efforts to improve business environment and stimulate market vitality.

For some of the tax and fee cut policies introduced under the policy package for stabilizing the economy and its follow-up measures, there is still room for them to deliver results. Therefore it is imperative to ensure their thorough and effective implementation.

Arbitrary charges, fines and apportion will be resolutely clamped down. A multi-pronged approach will be adopted to boost market expectation and consolidate the stabilizing and recovering momentum of economic growth.

"We must take stock of past experience and practices, establish long-term supervision mechanisms, and adopt a list-based management approach to forestall unwarranted and arbitrary charges," Li said.