In March 28th, the standing meeting of the State Council decided to deepen the reform measures of VAT. The meeting decided that from May 1, 2018, the value-added tax rate of industries and other industries was reduced from 17% to 16%, and the value-added tax rate of transportation, construction, basic telecommunications services and other industries and agricultural products was reduced from 11% to 10%, and the annual tax rate was expected to be reduced by 2400. Hundreds of millions of dollars.
At the same time, the conference decided to unify the standard of small-scale taxpayers. The annual sales standards of small scale taxpayers of industrial and commercial enterprises are raised from 500 thousand yuan and 800 thousand yuan to 5 million yuan, and the enterprises that have been registered as general taxpayers are allowed to be registered as small-scale taxpayers in a certain period of time, so that more enterprises can enjoy the preferential tax rate at lower rates.
For the advanced manufacturing industry such as equipment manufacturing, the modern service industry, such as advanced manufacturing industry, research and development and other modern service industry, and the power grid enterprises in a certain period not to be deducted from the entry tax will be returned once. The implementation of the above three measures will reduce the total tax burden of the market by more than 400 billion yuan throughout the year, and both domestic and foreign enterprises will benefit equally.
What is the overall impact of tax reduction on the manufacturing industry?
Li Xunlei, an economist, said manufacturing tax cuts were in line with expectations. In 2018, the government work report has made it clear that "reform and improve the value-added tax, adjust the tax rate according to the three and two gears, and focus on reducing the tax rate of industry, transportation and other industries."
1, the tax reduction of the manufacturing industry is over a thousand billion. According to the quantitative calculation, the effect of the increase in the amount of taxable income caused by the decline in value-added tax is eliminated, and the manufacturing industry in the first three quarters is expected to reduce the tax rate by 78 billion 300 million yuan, which is about 104 billion 400 million yuan, of which the upstream tax reduction is about 30 billion 910 million yuan, the middle reaches is about 42 billion 30 million yuan, the lower tax is about 31 billion 470 million yuan, the car manufacturing industry, computer communications and other electronics are in the lower reaches. The actual tax reduction in equipment manufacturing industry was the largest, reaching 16 billion 930 million yuan and 11 billion 170 million yuan respectively.
2, the upstream profit elasticity is most obvious. According to estimates, the tax reduction is expected to boost the total profit of manufacturing industry by 11.2%. Under the influence of the profit base, the upper, middle and lower reaches of about 15.7%, 11.2% and 8.8% respectively. The profit of three industries of non-ferrous metallurgy, chemical fiber and railway ships rose the biggest, reaching 28.9%, 18.5% and 17.5%.
3, what is the effect of subsequent tax reduction? If the value-added tax rate dropped to 13%, it is expected to promote the total net profit of manufacturing enterprises to rise by 44.8%, of which the upper, middle and lower reaches are 62.8%, 44.9% and 35.1% respectively, and 115.6%, 74%, 70.1% in the three industries of non-ferrous metallurgy, chemical fiber and railway ships.
From the time of the introduction of VAT reform, the tax reduction is right at this time, because it is the United States to provoke trade disputes. In the case of this year's export situation is not too optimistic, tax cuts will be used to stimulate domestic demand and change expectations, thus achieving a smooth investment growth.
The effect of tax reduction on the cotton market
The value added tax on cotton imports will drop 1 percentage points from 11% to 10%, which will help reduce the cost of cotton imports. Take 91 cents per pound, for example, the import cost is 14435 yuan per ton before the adjustment of VAT tax rate (according to RMB exchange rate 6.3294, port fee 200 yuan / ton), adjusted to 14307 yuan / ton, and the import cost is 128 yuan per ton in theory.
In addition, enterprises are more concerned about the issue of reserve price of cotton reserves. That is to say, the new tax rate will be applied in the conversion of base price from the second week of May. Taking the reserve price of the reserve cotton liner as the base price of 15013 yuan / ton this week, the tax reduction is converted to 14949 yuan / ton on the basis of the tax rate reduction, which is 64 yuan / ton less than the unadjusted conversion value. The adjustment of the tax policy has certain effects on the pricing of cotton reserves, import trade and spot circulation.
The influence of tax reduction on textile industry
The textile industry should also be one of the benefiting industries of the value-added tax reduction. In the discussion of the impact of the VAT tax rate on the industry, China Cotton Association also exchanges with several large cotton textile enterprises: under the ideal state, if YISHION cotton yarn products are an example, cost 16000 yuan / ton cotton price (no tax price), other fixed cost 3000 yuan / ton (no tax price), after processing, cotton yarn price is 23000 yuan / Tons (no tax), the value added is 23000-16000-3000=4000 yuan / ton, VAT reduction =4000*1%=40 yuan / ton; according to the 2017 national spinning output of nearly 20 million tons, value-added tax reduction of about 800 million yuan.
Enterprises believe that the tax rate reduction of 1% will certainly help enterprises to reduce the burden, but in the actual situation, the fixed assets investment, cost composition and profit status of the textile industry chain are different, and the effect of VAT downregulation on all sectors of the industry is not the same. From the industrial chain, the tax reduction of the rear clothing industry should be greater than that of the former. Because the clothing has the brand value, the added value of the finished product is high and the value-added is high, which is why the garment enterprises are more willing to focus on the "brand construction", and the reduction of the tax burden is one of the important factors for the enterprise.