Ministry Of Industry And Commerce: New Draft Of Software Industry Has Been Submitted To The State Council.

In June 2nd, Minister of industry and information technology Li Yizhong revealed at the fourteenth China International Software Expo held in Beijing, the Ministry of industry and information technology is studying and has produced a draft policy to report to the State Council to promote the further development of the software industry development policy.

Li Yizhong said that we should speed up the formulation of guiding opinions, further improve the identification of software enterprises and the registration and filing system of software products.

He also said that the NDRC and the finance ministry also expressed support for this.

According to the introduction, thanks to the policy of encouraging the development of the software industry and the integrated circuit industry in 2000, China's software services business income in 2009 was 997 billion yuan, close to one trillion yuan, 16 times that of 2000; in 2009, the software export was 19 billion 600 million US dollars, which was 49 times that of 2000.

According to the provisions of "Document No. 18", the VAT general taxpayers sell their own software products developed and produced by themselves. Before 2010, the VAT will be levied at the statutory rate of 17%, and the portion of the actual tax burden of more than 3% will be levied immediately.

However, this preferential policy will be partially closed by the end of this year.

Experts believe that the new software industry will be introduced this year, the scope of tax concessions should continue or even exceed the support of "Document No. 18".