The resource tax reform plan has been approved by the Legal Affairs Office of the State Council and is now waiting for final approval from the Executive Meeting of the State Council.
Currently resource taxes make up 1 percent of the resource companies' turnovers. The reform plan would raise this to 3 to 4 percent. Many enterprises are concerned whether the plan will cancel resources compensation fees. An official from the State Administration of Taxation (SAT) said that the resources compensation fees would remain valid at present but that they would be cancelled at an appropriate future time.
For more details, please read the full story in Chinese. (http://www.eeo.com.cn/Politics/beijing_news/2007/11/27/88382.html)
(China.org.cn November 28, 2007)