On April 20, 2020, China's Ministry of Finance held a press conference on fiscal revenue and expenditure in the first quarter of 2020, to introduce fiscal revenue and expenditure in the first quarter of 2020,January-March and release the figures. It said the total the national general public budget income was 4.5984 trillion yuan, down 14.3 percent year on year. Among them, the central general public budget income 2.1157 trillion yuan, down 16.5% year on year; the local general public budgets at the same level of income 2.4827 trillion yuan, down 12.3 percent year on year. National tax revenue 3.9029 trillion yuan, down 16.4 percent; non-tax revenue 695.5 billion yuan, an increase of 0.1%.

The main tax revenue items were disclosed as follows:

1. Domestic VAT 1.4977 trillion yuan, down 23.6 percent year on year.

2. Domestic consumption tax 434.8 billion yuan, down 16.4 percent year on year.

3. corporate income tax 862.5 billion yuan, down 12.8 percent year on year.

4. Personal income tax 335.3 billion yuan, an increase of 3.5%.

5. import goods VAT, consumption tax 339.3 billion yuan, down 23.9% year on year. Tariffs 59.8 billion yuan, down 13.8% year on year.

6. The export tax rebate 365.1 billion yuan, down 27.9 percent year on year.

7. urban maintenance and construction tax 115.9 billion yuan, down 19.7% year on year.

The vehicle purchase tax 66.6 billion yuan, down 29.5% year on year.

9. Stamp Duty 76.9 billion yuan, an increase of 5%. Among them, stamp duty on securities transactions 45.3 billion yuan, an increase of 14.1%.

10. Resource taxes 43.5 billion yuan, down 12 percent year on year.

11. Land and real estate-related taxes, deed 121.2 billion yuan, down 19.9 percent; land value 146.7 billion yuan, down 12 percent; property taxes 60.6 billion yuan, down 5.8% year on year; arable land occupation tax 29.6 billion yuan, up decreased 23.7%; urban land use tax 47.4 billion yuan, down 12.4% year on year.

12. Environmental taxes 5.5 billion yuan, down 6%.

13. The travel tax, tonnage tax, tobacco tax and other government tax revenue total 24.9 billion yuan, down 5.7% year on year.

CHINA-ECONOMY: NDRC SPELLS OUT 'NEW INFRASTRUCTURE'

At a meeting on April 20, China's National Development and Reform Commission (NDRC) discussed the scope of “new infrastructure” investments,  first mentioned by the Politburo as a key economic support measure at its meeting on March 27. Clarifying 'new infrastructure' investments, the NDRC said it will involve: (i) Information infrastructure – including communication network infrastructure such as 5G, internet of things, industrial and satellite internet; new technology infrastructure like artificial intelligence, cloud computing, and blockchain; computing infrastructure like data centers and intelligent computing centers; (ii) Integration infrastructure – including intelligent transportation infrastructure and intelligent energy infrastructure; and (iii) Innovative infrastructure – including major science and technology infrastructure and industrial technology innovation infrastructure.

(Comment: By investing in new infrastructure, the NDRC and policymakers expect to be able to support the economy now, while also increasing long-term economic competitiveness.)