China: Over 260,000 entities to pay environment tax
Over 260,000 enterprises and other entities will have to start paying an environment tax in April, as China moves to protect the environment and cut pollutants, according to the country’s top tax authority.
The Environmental Protection Tax Law took effect on Jan. 1, and taxpayers have to file for taxation each quarter. The first environment tax declaration period starts on April 1 this year.
Under the Environmental Protection Tax Law, which targets enterprises and public institutions that discharge listed pollutants directly into the environment, companies will pay taxes for producing noise, air and water pollutants, as well as solid waste.
Individuals do not need to pay the tax as it is applicable only to enterprises, public institutions and other business operators.
This is China’s first tax clearly designed for environmental protection, which will help establish a “green” financial and taxation system and promote pollution control and treatment of pollutants.
The introduction of the tax called an end to the “pollutant discharge fee,” which China had been collecting for nearly 40 years.
China has offered training to over 70 percent of the 260,000-plus taxpayers and streamlined declaration procedures to ensure that the first environment tax collection period runs smoothly.
Taxpayers can also choose to declare online.
