According to the State Council's regulations on the interim management of water conservancy funds, the tax rate of water conservancy funds nationwide will be 0.2% from 2023, of which local water conservancy construction funds will account for 0. 1% and central water conservancy construction funds will account for 0. 1%.

Water conservancy fund is a special fund involving national economic construction and social welfare, which is used to support the construction and maintenance of water conservancy projects and improve public facilities such as flood control and drainage. In China, water conservancy funds are mainly composed of local and central levels, in which local water conservancy construction funds are mainly used for the construction and maintenance of local water conservancy projects, while central water conservancy construction funds are used to support national key water conservancy projects. According to the Interim Measures for the Administration of Water Conservancy Funds issued by the State Council, the national water conservancy fund tax rate is 0.2% from 20 19, of which local water conservancy construction funds account for 0. 1% and central water conservancy construction funds account for 0. 1%. At the same time, the management measures also stipulate the collection, use and supervision of water conservancy funds to ensure the rational use and management of water conservancy funds. It should be noted that the collection scope and objects of water conservancy funds include all production and business units and individuals, and all collected water conservancy funds must be turned over to local and central water conservancy fund accounts and used in accordance with relevant regulations.

What is the impact of the water conservancy fund tax rate on the national economy? The tax rate of water conservancy fund is directly related to the investment of national water conservancy project construction and the development and utilization of water resources. If the tax rate of water conservancy funds is too high, it may increase the burden on enterprises and individuals, which will put some pressure on economic development; On the contrary, it may make the construction of water conservancy projects face the problem of insufficient funds, limiting the speed and scope of its development and utilization. At the same time, the collection and management of water conservancy funds are also closely related to environmental protection and sustainable development. Reasonable collection and use of water conservancy funds can promote the rational utilization of water resources, improve the quality and protection benefits of water environment, and provide a stable and sustainable guarantee for economic and social development.

According to the regulations of the State Council, the tax rate of national water conservancy funds will be 0.2% from 2023, including 0. 1% for local water conservancy construction funds and 0. 1% for central water conservancy construction funds. This is to ensure the construction and maintenance of water conservancy projects, and reasonable collection and use of water conservancy funds can also promote environmental protection and sustainable development.

Legal basis:

Article 1 of the Notice of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Expanding the Exemption Scope of Government Funds will expand the scope of exempting education surcharges, local education surcharges and water conservancy construction funds from the payer whose current monthly sales or turnover does not exceed 30,000 and quarterly sales or turnover does not exceed100000 to the payer whose monthly sales or turnover does not exceed100000 and quarterly sales or turnover does not exceed 300,000.