The Ministry of Finance and the State Administration of Taxation issue a notice on the tax policies for the transfer and enrichment of state-owned equity and cash income for social security funds.

The Ministry of Finance and the State Taxation Administration have issued a notice on the tax policies for the management of transferring and enriching the social security fund with state-owned equity and cash returns. In order to support the management of transferring and enriching the social security fund with state-owned equity and cash returns, the relevant tax policies are now announced as follows: 1. All interest income and income of interest nature obtained from loan services in the process of investing state-owned equity and cash returns transferred shall be exempt from value-added tax for the entities undertaking the transfer. 2. The income obtained from transferring state-owned equity and cash returns investment shall be exempt from enterprise income tax. 3. The stamp duty that the entities undertaking the transfer should pay for transferring non-listed companies' state-owned equity shall be exempt. 4. For transferring state-owned equity of listed companies and stamp duty for trading securities using cash returns, the stamp duty shall be levied first and then refunded. 5. The entities undertaking the transfer referred to in this notice are the entities responsible for the management of state-owned equity and cash returns operations as stipulated in the "Notice of the State Council on Printing and Distributing the Implementation Plan for Transferring Part of State Capital to Enrich the Social Security Funds." These entities include the National Council for Social Security Fund, state-owned sole proprietorship companies established by the provincial, autonomous region, and municipality governments responsible for centralized holding, management, and operation of transferred state-owned equity, or companies entrusted to manage transferred state-owned equity with specialized accounts for state-owned capital investment and operation. 6. This notice shall be implemented from April 1, 2024. Taxes that have been paid before the issuance of the notice and comply with the provisions of this notice can be refunded.