Nine government agencies including the Chongqing Administration for Market Regulation recently introduced 21 measures, which cover 5 areas, to help individual businesses resume work and production.

The night economy of Chongqing resumes in an orderly way and the staff member is making barbecue for customers. (Photo by Wang Quanchao)

The operating costs of individual businesses will be further reduced once the preferential policies are implemented. The policy supports rolling loans over and renewal of insurance to cut down on financing costs. For loans that expire before June 30 and that are below the 10-million-yuan mark, banks are urged to extend the loan principal for 6 months, postpone interest payment for 6 months, and forego the penalty interest. Finance security instruments shall cooperate in the renewal of insurance without immediately collecting security deposits.

With respect to taxes and dues, the social insurance relief policy for micro-, small and medium-sized enterprises is basically applicable to individual businesses that are insured as a company. They shall be exempted from the corporate contributions to basic old-age insurance, unemployment insurance, and occupational injury insurance from February to June. From March to May, small-scale VAT taxpayers in Chongqing with a sales income that matches the 3% charge rate will pay a VAT at the reduced rate of 1%. Items subject to prepayment of VAT at a 3% prepayment rate shall prepay the VAT at the reduced rate of 1%.

At the same time, the procedures that individual businesses undergo in business handling shall be further simplified. For example, on the premise of ensuring food safety, individual businesses that apply for the sales of prepackaged foods for the first time will be exempted from on-site inspection in the form of “informed promise,” and the application forms and application materials will be optimized to enable simultaneous application, simultaneous handling and simultaneous issuance of the food business license and the business license. Self-employed people who sell agricultural and sideline products, daily necessities, or use their personal skills to engage in convenience services that do not require a permit shall be exempted from registration according to law.