Announcement from four departments! Levy corporate income tax at a reduced rate of 15% on such enterprises
Announcement on the Policy Issues of Income Tax for Third Party Enterprises Engaged in Pollution Prevention and Control
Announcement of the Ministry of Finance, State Administration of Taxation, National Development and Reform Commission, Ministry of Ecology and Environment
No. 38 of 2023
To encourage the professional and large-scale development of pollution prevention and control enterprises, and better support the construction of ecological civilization, the relevant corporate income tax policies are hereby announced as follows:
1、 Third party enterprises engaged in pollution prevention and control that meet the conditions shall be subject to a reduced corporate income tax rate of 15%.
The third-party prevention and control enterprises referred to in this announcement refer to enterprises entrusted by polluting enterprises or governments to operate and maintain environmental pollution control facilities.
2、 The third-party prevention and control enterprises referred to in this announcement shall simultaneously meet the following conditions:
Resident enterprises registered in accordance with the law within China;
Having more than one year of continuous experience in operating environmental pollution control facilities, and being able to ensure the normal operation of the facilities;
At least 5 technical personnel engaged in this field with intermediate or above technical titles in environmental protection related fields, or at least 2 technical personnel engaged in this field with senior or above technical titles in environmental protection related fields;
The proportion of annual operating revenue engaged in environmental protection facility operation services to total revenue shall not be less than 60%;
Capable of testing, with its own laboratory and instrument configuration that can meet the detection needs of conventional pollutant indicators within the scope of operation and service;
Ensure the normal operation of its environmental protection facilities, so that the pollutant emission indicators can continuously and stably meet the national or local emission standards requirements;
Has good tax credit and has not been rated as C or D in the past three years.
3、 Third party prevention and control enterprises shall independently determine whether they meet the above conditions. Those who meet the conditions can declare and enjoy tax incentives, and relevant information shall be kept for future reference. During the follow-up management process carried out by the tax department in accordance with the law, the ecological environment department may be referred for verification. The ecological environment department may entrust professional institutions to carry out relevant verification work. The specific measures shall be formulated by the State Administration of Taxation in conjunction with the National Development and Reform Commission and the Ministry of Ecology and Environment.
4、 The execution period of this announcement is from January 1, 2024 to December 31, 2027.
This announcement is hereby made.
Ministry of Finance, State Administration of Taxation, National Development and Reform Commission, Ministry of Ecology and Environment
August 24, 2023