According to the requirements of ‘notice on adjusting the Value-added Tax Rate’(Cai Shui [2018] No. 32) issued by Ministry of Finance and State Administration of Taxation, the VAT rate adjustment will be implemented on May 1, 2018 and the rate is adjusted from 17% and 11% to 16% and 10% respectively, which applying on manufacturing and other industries.

In order to respond to national policies and effectively allow company to enjoy taxation policies brought about by preferential tax rates, financial department of Shandong Taikai Instrument Transformer Co., Ltd organizes various departments to discuss and analyzes the impact of tax rate changes, and gradually advances preparations for changes in tax rates to ensure the sales and purchases business smoothly transitioned to the new tax era.