China VAT Reform
Achieving a successful transition to VAT
A significant milestone in the reform of China’s indirect tax system was reached on 1 January 2012 with the launch of a VAT reform pilot program in Shanghai. Following the initial announcement, the pilot program has been implemented extremely quickly and if the rollout continues at the current pace, affected companies must take smart actions now in response to assess the impact to their business and start planning to ensure readiness for the new rules.
This whitepaper addresses the practical implications of the VAT reform, the challenges and opportunities it presents, and reflects on lessons learned from the Shanghai pilot. A suggested course of actions is presented to help companies consider the steps they need to take to ensure they are adequately prepared for the full transition from Business Tax (BT) to VAT. It also explores common types of technology solutions that assist companies in maximizing their VAT compliance and efficiency through automation.
As the VAT reform evolves, we will issue regular updates on the latest developments and keep you up to date.
Download the Whitepaper or reach out to your Deloitte Tax professionals for further discussion.