Telcoms VAT delayed

7 Apr 2014

Plans to increase the level of taxation imposed on Chinese cellcos as part of the nation’s tax reforms, initially intended to come into force on 1 April this year, have been postponed after it was revealed that the nation’s trio of providers – China Mobile, China Unicom and China Telecom – did not receive official notice of the changes from the regulator until 4 April. ZDNet quotes local portal Sina Tech News as saying that the new rules are expected to see the current business tax of 3% charged to increasing to VAT of 6% and 11% for value added services (VAS) and basic telecoms services respectively.

China, China Mobile, China Telecom Corporation, China Unicom