Opportunity to introduce fuel tax to promote energy conservation

Chinese Vice Minister of Finance Zhang Shaochun said on Tuesday (June 17) that the Ministry of Finance will continue to improve its taxation policy, study the further expansion of the scope of taxation on consumption tax, and include some products that seriously pollute the environment or consume large amounts of resources into the scope of taxation. Tax reform program and fuel tax.
The Xinhua News Agency quoted Zhang Shaochun as saying that the Ministry of Finance will study and formulate relevant catalogues, allowing companies to deduct the input tax included in the newly purchased energy-saving and emission-reducing equipment in their catalogues from their sales tax; research and development will use crop stalks, The power and heat of bark residues, sludge, and other wastes are subject to the VAT rebate policy. At the same time, VAT first-hand retreat policies are applied to biodiesel produced from waste animal and vegetable oils to study the value-added of energy-saving lamps. Tax incentives.
At the same time, the Ministry of Finance will optimize the structure of fiscal expenditure, and vigorously support non-food bio-energy, wind power generation, solar power generation, energy utilization of straw, and the application of renewable energy in large scale in the construction sector; focus on supporting energy savings of 10,000 tons (including 10,000 yuan t) Reform of energy-saving technologies is implemented for projects such as the transformation of coal-fired industrial boilers (kilns) above standard coal, waste heat and pressure utilization, and conservation and replacement of petroleum.
The central government will also encourage economically underdeveloped regions to phase out backward production capacity of 13 high-energy-consuming and high-polluting industries, such as electricity and ironmaking. In 2008, the central government allocated a special energy-saving emission reduction fund of 27 billion yuan, of which 12.5 billion yuan was used for energy conservation.

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