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What are the corporate income tax incentives to support rural financial development?
1. According to the Tax Policy of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Continuing to Support Rural Financial Development (Caishui [2017] No.44) and the Announcement of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Continuing to Implement Relevant Tax Preferential Policies in inclusive finance (Announcement No.22 of State Taxation Administration of The People's Republic of China of the Ministry of Finance in 2020), since 20171.

1 October 20 17,1to February 2023 12, 3 1, the premium income obtained by insurance companies from providing insurance services for farming and aquaculture shall be included in the total income according to 90% when calculating the taxable income.

2. According to Article 1 of the Announcement of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Continuing to Implement Enterprise Income Tax Policies to Support Rural Financial Development (Announcement No.55 of State Taxation Administration of The People's Republic of China of the Ministry of Finance in 2023), the interest income of small loans of farmers in financial institutions is included in the total income according to 90% when calculating the taxable income.

Article 2 stipulates that when calculating taxable income, the premium income obtained by insurance companies from providing insurance services for planting and aquaculture shall be included in the total income at 90%.

The above policies will be implemented until February 3, 20271day.