The Wealth Empire Crossing the Hong Kong
Chapter 683 Tax Rates
The August [-]th Fourth Military Parade not only shocked the audience, but also shocked the world through the media. It also showed the world that the ancient eastern countries have the strength to defend their own national security.
It's just that the uplifting mood of Li Jianhui and others in the morning did not carry over to the afternoon. The thing they had been worrying about finally came.
The upper management obviously saw the disadvantages of still adopting 15% profit tax for domestic sales of products, which seriously affected the development of the same industry internally.
In order to change this situation, the principals of the Ministry of Industry and Commerce specially met Li Jianhui, Lei Juekun, Chartered Ship King, Cao Guangbiao, Li Chaoren, Cao Wenjin, Li Zhaoji and others in the afternoon.
"Everyone is a leader in our Chinese business community, and we should be very clear that it is unfair and detrimental to the development of our internal enterprises to adopt a 15% profit tax rate for enterprises with domestic sales qualifications like those for export products.
Today, I specially invite everyone to gather together to communicate with you about the tax rate of domestic sales of products, so as to promote the fairness of market development. "
Although the inner thoughts of those present were different, they still expressed their support for the above decision on the surface.
When it comes to specific opinions on formulating tax rates, everyone is silent. No one is willing to act as an early bird, offending the higher authorities if they are too low, and not only harming their own interests but also offending their peers if they are too high.
Seeing that no one spoke, Minister Wang of the Ministry of Commerce said: "Mr. Li Jianhui, at present, the domestic sales companies belong to you with the largest number and scale. What is your opinion on this?"
Li Jianhui, who was originally unwilling to get involved in this, saw that Minister Wang had already called the roll, so he could only talk about his own thoughts.
"Because of the different models, there is no precedent in the world to pursue, and I can't come up with a good solution.
However, the future export production bases of our industries will be mainly built in the two special zones of Pengcheng and Ludao.
The production bases for domestic products will be selected in Yuzhou, Yangcheng, Yongcheng, Shanghai, Qindao and other open cities.
Our company is willing to accept no matter what tax rate the domestic sales product production company adopts. After all, our company must obey the local regulations for its development in the local area.
As for whether our products will be sold as imported products or local products in the mainland market in the future, this needs to be determined based on later profits and costs. "
Those present understand what Li Jianhui said. If the tax rate of domestic products is higher than the tax rate + tariff of export products, then the production of Li Jianhui's products will stop at the domestic production base. In the future, the products purchased by the mainland market will be imported products.
Li Jianhui's products are all big brands. Apart from the possible impact of Amoy Group's products, there will not be much loss if it is imported or sold domestically.
They are different. Many enterprises rely on the mainland market to support themselves, and they all rely on cheap quantities to make profits. Once the domestic sales tax rate is too high, it will inevitably cause problems in their development.
Afterwards, Cao Wenjin, Li Zhaoji, Lin Boxin and others expressed their opinions one after another. No one came out to be a villain, and they all expressed their willingness to accept the arrangement from above.
It's just that Minister Wang and the others didn't feel the slightest joy in their hearts when they heard these words. They hoped to reach a mutually acceptable result with Li Jianhui and the others, rather than making a unilateral decision.
"Everyone, I also know that increasing the tax rate for domestic sales of products has harmed your interests to a certain extent.
But I hope that everyone will not just stare at their own one-third of an acre of land, but also need to look at the problem from the overall level of our country.
We are not a small Hong Kong, and the tax rate cannot be 15% of the profits tax. Otherwise, our country would not be able to function normally, and our security would not be guaranteed.
As a product export enterprise, we can still maintain a 15% profit tax. After all, this provides jobs for the country and creates foreign exchange.
However, it is impossible to continue to maintain the 15% profit tax rate for domestic sales companies. Whether everyone understands it or not, it needs to be implemented. From January next year, domestic sales companies will uniformly implement the new exchange rate.
I invite everyone to come to discuss today, and I also hope to come up with an appropriate tax rate so that it will not affect the normal development of your enterprises as much as possible.
At the same time, I also hope that everyone will not have any worries in their hearts and can express their opinions directly. This will help your industry develop in our mainland. "
Seeing that no one was willing to speak, the Chartered Ship King took Minister Wang's words and said: "I know everyone's inner thoughts, and the increase in tax rates will indeed affect the interests of your industry.
It’s just that as businessmen, we should know that enough is enough, too much greed will only harm us in the end.
Presumably everyone has industries in other countries and regions. Apart from Hong Kong, is there any place where the tax rate is 15% of the profits tax, or even lower than this.
I can bluntly say that apart from a few so-called tax havens, there is none.
Whether it is the Baodao market or the Southeast Asian market, no place has such a low tax rate.
The corporate profit tax for all products sold domestically is 15%, which is out of date in any sovereign country, and I hope everyone will give up some out of date ideas. "
……
"Mr. Bao is right, and I, Xinjian Group and even our Donghua Club companies fully support this decision.
Not to participate in interfering with the political governance of countries and regions has always been the corporate purpose of our Donghua Association. The tax rate for domestic sales of products involves national policies, and it is not something we should participate in.
Our company will only adapt to local policies, and has no right or ability to participate in policy formulation.
All the hustle and bustle in the world is for profit. If it is profitable, there will be countless companies flocking to it without saying anything.
Our Donghuahui company has always followed this principle. Whether it is investing in the Southeast Asian market of Baodao or investing in this market, it is all about profit.
I believe that all the representatives of the business community present are like this. No matter how loud the slogans are, they are all for a profit.
Today's meeting, to put it simply, is how to balance the fairness of market competition between our foreign-funded companies with domestic sales qualifications and similar companies in the mainland.
Taxes must be increased, but how much should be increased should not be a question of us, but how the top of the country will balance.
There should be no problems with national taxation, and whether or not the taxation of domestic counterparts can be reduced, and by how much, is the basis for our tax increase, and only the top can make decisions about these.
Now to put it simply, the tax rate of our domestic sales enterprises is consistent with the current tax rate of similar domestic enterprises.
If it is more complicated, it will not be able to decide in a month or two. After all, the country is so big, it is difficult to come up with a practical plan in a short time. "
Although Li Jianhui's words were harsh, those present knew in their hearts that Li Jianhui's words pointed to the essence of the matter.
As for the tax rate, they can negotiate and decide. Today's meeting and discussion is just to see their attitude.
They even believe that from the day when the products were sold domestically on a large scale, the upper management has already begun to consider the corporate tax rate for products sold domestically.
It can be expected that the upper echelon has almost prepared for this matter, and it will only be implemented in January next year.
Meeting now is more of a signal to them to get them ready.
No matter what their attitude is, the top will never harm the interests of domestic enterprises and the country for their interests.
……
It's just that the uplifting mood of Li Jianhui and others in the morning did not carry over to the afternoon. The thing they had been worrying about finally came.
The upper management obviously saw the disadvantages of still adopting 15% profit tax for domestic sales of products, which seriously affected the development of the same industry internally.
In order to change this situation, the principals of the Ministry of Industry and Commerce specially met Li Jianhui, Lei Juekun, Chartered Ship King, Cao Guangbiao, Li Chaoren, Cao Wenjin, Li Zhaoji and others in the afternoon.
"Everyone is a leader in our Chinese business community, and we should be very clear that it is unfair and detrimental to the development of our internal enterprises to adopt a 15% profit tax rate for enterprises with domestic sales qualifications like those for export products.
Today, I specially invite everyone to gather together to communicate with you about the tax rate of domestic sales of products, so as to promote the fairness of market development. "
Although the inner thoughts of those present were different, they still expressed their support for the above decision on the surface.
When it comes to specific opinions on formulating tax rates, everyone is silent. No one is willing to act as an early bird, offending the higher authorities if they are too low, and not only harming their own interests but also offending their peers if they are too high.
Seeing that no one spoke, Minister Wang of the Ministry of Commerce said: "Mr. Li Jianhui, at present, the domestic sales companies belong to you with the largest number and scale. What is your opinion on this?"
Li Jianhui, who was originally unwilling to get involved in this, saw that Minister Wang had already called the roll, so he could only talk about his own thoughts.
"Because of the different models, there is no precedent in the world to pursue, and I can't come up with a good solution.
However, the future export production bases of our industries will be mainly built in the two special zones of Pengcheng and Ludao.
The production bases for domestic products will be selected in Yuzhou, Yangcheng, Yongcheng, Shanghai, Qindao and other open cities.
Our company is willing to accept no matter what tax rate the domestic sales product production company adopts. After all, our company must obey the local regulations for its development in the local area.
As for whether our products will be sold as imported products or local products in the mainland market in the future, this needs to be determined based on later profits and costs. "
Those present understand what Li Jianhui said. If the tax rate of domestic products is higher than the tax rate + tariff of export products, then the production of Li Jianhui's products will stop at the domestic production base. In the future, the products purchased by the mainland market will be imported products.
Li Jianhui's products are all big brands. Apart from the possible impact of Amoy Group's products, there will not be much loss if it is imported or sold domestically.
They are different. Many enterprises rely on the mainland market to support themselves, and they all rely on cheap quantities to make profits. Once the domestic sales tax rate is too high, it will inevitably cause problems in their development.
Afterwards, Cao Wenjin, Li Zhaoji, Lin Boxin and others expressed their opinions one after another. No one came out to be a villain, and they all expressed their willingness to accept the arrangement from above.
It's just that Minister Wang and the others didn't feel the slightest joy in their hearts when they heard these words. They hoped to reach a mutually acceptable result with Li Jianhui and the others, rather than making a unilateral decision.
"Everyone, I also know that increasing the tax rate for domestic sales of products has harmed your interests to a certain extent.
But I hope that everyone will not just stare at their own one-third of an acre of land, but also need to look at the problem from the overall level of our country.
We are not a small Hong Kong, and the tax rate cannot be 15% of the profits tax. Otherwise, our country would not be able to function normally, and our security would not be guaranteed.
As a product export enterprise, we can still maintain a 15% profit tax. After all, this provides jobs for the country and creates foreign exchange.
However, it is impossible to continue to maintain the 15% profit tax rate for domestic sales companies. Whether everyone understands it or not, it needs to be implemented. From January next year, domestic sales companies will uniformly implement the new exchange rate.
I invite everyone to come to discuss today, and I also hope to come up with an appropriate tax rate so that it will not affect the normal development of your enterprises as much as possible.
At the same time, I also hope that everyone will not have any worries in their hearts and can express their opinions directly. This will help your industry develop in our mainland. "
Seeing that no one was willing to speak, the Chartered Ship King took Minister Wang's words and said: "I know everyone's inner thoughts, and the increase in tax rates will indeed affect the interests of your industry.
It’s just that as businessmen, we should know that enough is enough, too much greed will only harm us in the end.
Presumably everyone has industries in other countries and regions. Apart from Hong Kong, is there any place where the tax rate is 15% of the profits tax, or even lower than this.
I can bluntly say that apart from a few so-called tax havens, there is none.
Whether it is the Baodao market or the Southeast Asian market, no place has such a low tax rate.
The corporate profit tax for all products sold domestically is 15%, which is out of date in any sovereign country, and I hope everyone will give up some out of date ideas. "
……
"Mr. Bao is right, and I, Xinjian Group and even our Donghua Club companies fully support this decision.
Not to participate in interfering with the political governance of countries and regions has always been the corporate purpose of our Donghua Association. The tax rate for domestic sales of products involves national policies, and it is not something we should participate in.
Our company will only adapt to local policies, and has no right or ability to participate in policy formulation.
All the hustle and bustle in the world is for profit. If it is profitable, there will be countless companies flocking to it without saying anything.
Our Donghuahui company has always followed this principle. Whether it is investing in the Southeast Asian market of Baodao or investing in this market, it is all about profit.
I believe that all the representatives of the business community present are like this. No matter how loud the slogans are, they are all for a profit.
Today's meeting, to put it simply, is how to balance the fairness of market competition between our foreign-funded companies with domestic sales qualifications and similar companies in the mainland.
Taxes must be increased, but how much should be increased should not be a question of us, but how the top of the country will balance.
There should be no problems with national taxation, and whether or not the taxation of domestic counterparts can be reduced, and by how much, is the basis for our tax increase, and only the top can make decisions about these.
Now to put it simply, the tax rate of our domestic sales enterprises is consistent with the current tax rate of similar domestic enterprises.
If it is more complicated, it will not be able to decide in a month or two. After all, the country is so big, it is difficult to come up with a practical plan in a short time. "
Although Li Jianhui's words were harsh, those present knew in their hearts that Li Jianhui's words pointed to the essence of the matter.
As for the tax rate, they can negotiate and decide. Today's meeting and discussion is just to see their attitude.
They even believe that from the day when the products were sold domestically on a large scale, the upper management has already begun to consider the corporate tax rate for products sold domestically.
It can be expected that the upper echelon has almost prepared for this matter, and it will only be implemented in January next year.
Meeting now is more of a signal to them to get them ready.
No matter what their attitude is, the top will never harm the interests of domestic enterprises and the country for their interests.
……
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