China.org.cn | June 12, 2020
Third is the tax rate of income tax . From now until 2025, we will reduce or exempt income tax for eligible companies and individuals. For example, for enterprises from encouraged industries, registered and operating in Hainan FTP, we will reduce the enterprise income tax by 15%. Also, for high-end and urgently needed talents working in Hainan FTP, if they stay in Hainan Island for a minimum of 183 days, in regard to their actual personal income, the portion above standard rate of 15% on that income will be exempted. Therefore, it is also very attractive for high-end talents in short supply.
Fourth is service industry opening. We will greatly reduce market access barriers and intensify the opening for the service industry in the three major sectors of tourism, modern services and high-tech industries, especially the key areas of planting, shipping, telecommunications, business services, finance, medical treatment, education, culture, sports, etc. Let us take the example of basic telecommunications. The policy of our country so far is that basic telecommunications require Chinese control. In the new version of the FTP master plan, it mentions the orderly opening of basic telecommunications for the first time. For another example, we support overseas securities, futures and fund management institutions to set up wholly-owned or joint venture financial institutions. And for another example, we allow foreign universities of science, technology, agriculture, medicine and vocational education to be able to establish and run schools independently in Hainan. These opening policies have never been seen before.
There are many specific contents of the policies. During this time, we will continue to interpret them to society in different forms and answer questions for everyone. If you have any questions, you can check our website www.contacthainan.gov.cn. or you can leave your questions with us. We will answer you in due time. Recently, Hainan has been organizing various forms of investment promotion briefings. The media are welcome to actively participate.