China: Provincial Corporation Becomes Biggest Taxpayer

Source from:  TobaccoChina Online 10/24/2011

Guizhou Provincial China Tobacco Industry Corporation in southwest China's tobacco-producing Guizhou Province has turned out to be the biggest corporate taxpayer in Guizhou Province, as a result of conducting a series of structural reforms of the provincial tobacco industry over recent years. By end of September 2011, Guizhou Provincial China Tobacco Industry Corporation had paid 10.5 billion yuan (1.65 billion U.S. dollars) in value-added tax and consumption tax for the current year, a sharp increase of 41.18 percent over the same period of 2010. Because of the structural reforms, Guizhou Provincial China Tobacco Industry Corporation has seen its annual sales income, tax payment and profit making all go up year-on-year on a continued basis over recent years. So far, the corporation has emerged as the first enterprise in Guizhou Province with the annual payment of value-added tax and consumption tax topping 10 billion yuan (1.57 billion U.S. dollars). In reality, the amount of value-added tax and consumption tax paid by Guizhou Provincial China Tobacco Industry Corporation annually accounts for 26.71 percent of the national tax revenues collected by Guizhou Province. In response, the provincial tax authorities of Guizhou have adopted a one-on-one tax policy on the corporation to make the collection and computation of tax from it more convenient. Enditem