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New personal income tax policy in 2020?
The General Office of Hubei Provincial Government issued the Financial and Tax Support Policy for Infection in novel coronavirus, Hubei Province (E [2020] No.4, hereinafter referred to as the document), fully implemented the relevant tax policies, supported the supply of agricultural and sideline products and medical materials, implemented the booth rental subsidies for farmers' markets, promoted the development of catering circulation industry, and issued the 17 financial and tax support policy to fully guarantee the epidemic countermeasures, encourage enterprises to support the epidemic countermeasures, and support the first-line epidemic countermeasures.

In the current epidemic situation, ensuring the supply of materials is the basic condition for epidemic prevention. The document proposes to seize the value-added tax rebate and the inclusive policy for small and medium-sized enterprises, and seize the value-added tax reduction and exemption policies for agricultural products such as medicine, medical care, medicinal herbs and vegetables, transportation and logistics. During the period of epidemic prevention management, individual industrial and commercial households engaged in vegetables should pay value-added tax, urban maintenance and construction tax, education surcharge, local education surcharge and personal income tax. Property and land used by non-profit medical institutions and communities (villages) for epidemic prevention measures shall be exempted from property tax and urban land use tax according to regulations. Local regulations on the purchase of houses and the use of land for epidemic prevention measures are exempt from right tax. Full implementation of the tax exemption policy announcement for imported materials infected with novel coronavirus (Announcement No.6 of the General Administration of Customs, Ministry of Finance, 2020), and exemption of import duties and taxes for imported materials donated for epidemic prevention.

On the one hand, there are difficulties, and all parties support them. For enterprises that support the prevention and control of epidemic situation in Hubei, the document clarifies the tax support policy, that is, the part with annual total profit less than 12% and the part with annual total profit exceeding 12% are allowed to be deducted when calculating taxable income. Deduction is allowed when calculating taxable income. The actual R&D expenses incurred by enterprises in various R&D activities, including supporting epidemic countermeasures, are not included in the current profits and losses. On the basis of actual deduction according to regulations, 75% of the actual legal amount of intangible assets is deducted before tax, and the part of intangible assets sold is deducted before tax at 175% of the cost of intangible assets. Assets losses caused by the actual force majeure factors of the enterprise are allowed to be deducted when calculating the taxable income.

For angels in white, which is struggling in the front line of the war epidemic, the document specifically proposes that those who participate in the first-line medical treatment and epidemic countermeasures receive special temporary work subsidies for epidemic countermeasures in accordance with the standards set by the central and local governments, and are exempt from personal income tax collection. Individuals who donate to public welfare for epidemic prevention and management through domestic public welfare social organizations, people's governments at or above the county level (including the county level) and their departments and directly affiliated institutions, and the donation amount does not exceed 30% of their declared taxable income, can be deducted from the taxable income.

Ensuring the supply of medical materials is an important measure for epidemic prevention. The document proposes that the provincial finance should increase funds and expand reserves on the basis of the original medical reserve funds, and at the same time arrange medical materials to raise funds, and encourage all medical materials production enterprises in the province to organize production, storage and financing. In the payment of funds, we can adhere to the emergency situation and take the way of provincial finance to advance funds to further increase support. When allocating materials, the method of organizing allocation first and then settling funds is adopted. We should make every effort to ensure epidemic prevention. It is clear in the document that employees of industrial enterprises that produce medical materials for prevention and control will be given financial subsidies for overtime work, and enterprises will give financial subsidies for helping employees return to work and have safety checkups, and reduce tolls for vehicles that transport emergency materials for prevention and control in the province.

In the important period of the war epidemic, it is necessary to stabilize the operation of the farmers' market and ensure that the supply of agricultural and sideline products closely related to civilian life is concerned by the society. The document proposes that the municipal and county governments can give appropriate subsidies or loan subsidies to vegetable production enterprises, cooperatives and farmers through professional funds to unify the existing agricultural financial professional funds, support enterprises and vegetable agriculture to expand production and increase vegetable supply. It is clear in the document that the circulation expenses give financial subsidies to enterprises, and enterprises engaged in vegetable distribution give financial subsidies according to the distribution volume. Give the organization proper sales and supply.

It is noteworthy that the document specifically mentions the stall rent of farmers' market operators. During the epidemic period, the commercial department regularly pays rent subsidies to market developers according to the booth registration and inspection records provided by market developers.

In order to encourage the non-contact food distribution business model, the document proposes to implement a green channel for new or rebuilt non-contact food distribution facilities and subsidize the cost of non-contact food order distribution. At the same time, major ordering platforms are encouraged to put forward preferential policies to promote non-contact ordering mode to consumers.