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The Ministry of Finance issued a notice that the implementation of automobile subsidy policies for cars to the countryside and the trade-in replacement policy will be completed on December 31, 2010 and will no longer continue this preferential policy.
At the same time, the Ministry of Finance emphasized that in 2011, it will continue to adopt a financial subsidy policy to support the comprehensive promotion of energy-saving vehicles and increase the demonstration and promotion of new energy vehicles, and continue to implement the policy of retirement subsidies for old cars. This is mainly to speed up the adjustment and upgrade of the automobile industry structure. Promote energy-saving emission reduction and recycling of resources.
With the approval of the State Council, the Ministry of Finance and the relevant departments recently issued the "Circular on the Relevant Issues Concerning the Execution of Automobiles to the Countryside after the Expiration Policy" and the "Notice on the Relevant Issues Concerning the Execution of Automobile Old-Make-for-New Policy," and so on. The relevant policies were terminated due to the suspension of the implementation and specific requirements for follow-up work were put forward.
The circular pointed out that continuing to implement structural tax cuts is one of the important aspects of the proactive fiscal policy in 2011. We will continue to implement preferential income tax policies for some small profit-making enterprises to support the development of SMEs. We implemented various tax and fee reduction policies to promote the upgrading of the industrial structure and the development of the service industry. Implement preferential tax policies that are conducive to energy conservation, emission reduction, environmental protection, and employment increase. Continue to clean up and regulate administrative fees and government fund projects.
In order to respond to the impact of the international financial crisis and promote economic recovery, since the fourth quarter of 2008, the state has introduced preferential income tax policies for some small, meager profit-making enterprises, implemented household appliances, automobiles, motorcycles, rural areas and home appliance cars, trade-in policies, and purchased by consumers. Energy-saving cars give subsidies and a series of fiscal and tax incentives.