Digital yuan pays nationwide 'interest' tax

After Dalian, Shanghai, Shenzhen and Beijing, Hainan and Xiong'an New Area also recently announced their first digital yuan tax service.

Recently, the Hainan Province Tax Administration and the Central Branch of the People's Bank of China in Haikou supported the digital yuan to sign a third-party tax agreement by changing the electricity tax system. , from public revenue. The first online bank, the branch of the Bank of Communications Hainan, provides digital tax service to representatives of digital businesses. As of December 9, Hainan Province has concluded 27 trilateral agreements on RMB digital wallets and concluded 9 agreements.

The Hebei Xiong'an branch of China's Ministry of Commerce and Industry also announced the establishment of the state's first renminbi fiscal branch on December 6. the tax office to employ the taxpayer to their digital renminbi account and send the tax proceeds in digital renminbi. Integration and integration of offices, tax offices and renminbi digital application. , continue to support the continued support of the renminbi digital application to Xiongan.

A reporter from financial institutions found that the digital RMB tax project in each experiment was not the same. Among them, high taxes and cross-border taxes have become two new applications.

Dalian announced the country's first online yuan self-tax business in September this year on major tax returns. “Apply the digital renminbi in taxes and settlement fees for local people who can't afford a lot of taxes online, like buying a house and car. Get a receipt and go. According to Zhang Jing, deputy director of the National Customs Administration, Dalian Tax Department, this is because the measure can focus on anyone who will have to pay taxes. It also gives the possibility for foreign taxpayers to pay taxes and fees in Dalian and not be able to pay because the bank is not in Dalian.

Moreover, in cross-border payments, the advantages of digital RMB payments quickly became evident. Among them, ICBC's Shanghai Yangtze River Delta Integration Demonstration Zone branch promoted the digital yuan for the inter-regional tax, and the first taxpayer participating in personal income rental income in various places. Hong Kong companies in China also completed their personal income tax returns using digital RMB in October.

According to the "Shenzhen-Hong Kong Economic and Social Development Prospects Research Report (2021)" previously published by the Shenzhen Special Economic Zone Financial Association, 34% of residents of Hong Kong and Macao and 34% , 4% of the population of Hong Kong and Macao were surveyed, trade and export.

"The digital yuan can be used as a benefit to existing taxpayers due to its flexible and easy payment flexibility, and its ability to 'track' to prevent violations such as" tax exemption, tax exemption, tax exemption "," he added. declared. an industry insider. noted. To get more people to participate in the digital renminbi tax situation, special tax incentives can be created at the basic driver level, such as tax interventions, tax returns and more.