The National Development and Reform Commission ("NDRC") and other 12 authorities jointly released on August 29, 2022 the Several Policy Measures to Support the Elderly Care and Childcare Service Industries to Overcome Difficulties, rolling out 26 measures in six aspects including reduction and exemption of rents, taxes and fees, and provision of financial support.
In terms of reduction and exemption of taxes and fees, it called on localities to cut the "six local taxes and two fees" to the full extent possible as per 50% of the tax amount for qualified elderly care and childcare service agencies, clarifying that elderly care and childcare service agencies are entitled to the preferential tax policies as specified in the Announcement of the Preferential Tax Policies for Elderly Care, Childcare, and Housekeeping Services, and taxpayers in elderly care and childcare industries are also eligible for full refunds of incremental VAT excess credits on a monthly basis or one-off refunds of existing VAT excess credits.