Group 1 - The implementation of structural tax cuts and fee reductions is a crucial measure for promoting high-quality economic development, with an expected cumulative reduction of over 10 trillion yuan during the "14th Five-Year Plan" period [1][2] - The tax incentives have significantly benefited various enterprises, with Hebei Yinghu Agricultural Machinery Co., Ltd. enjoying over 28 million yuan in tax benefits in 2024, contributing to a historic revenue of nearly 770 million yuan and a profit of 110 million yuan [2] - The National Taxation Administration reported that the new tax cuts and fee reductions during the "14th Five-Year Plan" period are expected to reach 10.5 trillion yuan, with 9 trillion yuan in export tax rebates [2][3] Group 2 - Tax cuts and fee reductions are expected to stimulate long-term economic growth, despite short-term impacts on tax revenue, as seen in the case of Guizhou Jinze New Energy Technology Co., Ltd., which benefited from over 60 million yuan in tax incentives [3] - The number of tax-registered operating entities in China surpassed 100 million, reflecting a net increase of 30 million since 2020, indicating a growing economic landscape [4] - The manufacturing and high-tech sectors have shown significant revenue growth, with annual increases of 9.6% and 10.4% respectively from 2021 to 2024, and private sector sales accounting for 71.7% of the national total [4] Group 3 - Tax authorities are providing tailored support services to enterprises, exemplified by Wuxi Turbine Blade Co., Ltd., which received 194 million yuan in R&D expense deductions and over 68 million yuan in other tax benefits [6] - The tax department has cracked down on fraudulent claims for tax benefits, with 21,800 cases investigated and 26.9 billion yuan in tax recovered during the "14th Five-Year Plan" period [6][7] - The continuous improvement of tax data applications and taxpayer credit systems is enhancing tax regulation and management, ensuring that tax reduction benefits are effectively realized [7]

Group 1 - The implementation of structural tax reduction and fee reduction policies is a significant measure to promote high-quality economic development, with an expected cumulative reduction of over 10 trillion yuan during the "14th Five-Year Plan" period [1][2] - The tax reduction policies have provided substantial financial support to various business entities, with private enterprises benefiting from a cumulative reduction of 7.2 trillion yuan, accounting for 72.9% of the total [2][4] - The data indicates that small and medium-sized enterprises have shared a cumulative tax reduction of 6.3 trillion yuan, representing 64% of the total reductions, highlighting the focus on supporting these businesses [2][4] Group 2 - Tax reduction and fee reduction policies are expected to stimulate long-term economic growth, despite potential short-term impacts on tax revenue [3][5] - The number of tax-related business entities in the country has surpassed 100 million, reflecting a net increase of 30 million since 2020, indicating a growing economic landscape [4][5] - The sales revenue of the equipment manufacturing and high-tech manufacturing industries has shown annual growth rates of 9.6% and 10.4% respectively from 2021 to 2024, with significant year-on-year increases in the first half of this year [4][5] Group 3 - Companies are receiving tailored tax services from tax authorities, which include various forms of support to ensure that policy benefits are quickly reflected in their financial statements [7][8] - The tax authorities have actively cracked down on fraudulent claims for tax benefits, with 21,800 cases investigated and 26.9 billion yuan in tax recovered during the "14th Five-Year Plan" period [7][8] - The continuous improvement of tax data application and taxpayer credit systems is enhancing tax regulation and management, ensuring that tax reduction benefits are effectively realized [8]

Group 1 - The implementation of structural tax reduction and fee exemption policies is a crucial measure for promoting high-quality economic development, with an expected cumulative reduction of over 10 trillion yuan during the "14th Five-Year Plan" period [1][2] - The agricultural machinery company, Hebei Yinghu Agricultural Machinery Co., Ltd., anticipates a revenue of nearly 770 million yuan and a profit of 110 million yuan in 2024, benefiting from tax incentives exceeding 28 million yuan [1] - The National Taxation Administration reported that the cumulative tax reduction and fee exemption is expected to reach 10.5 trillion yuan, with export tax rebates exceeding 900 billion yuan [1][2] Group 2 - Tax reduction and fee exemption policies are focused on supporting technological innovation and advanced manufacturing, with 3.6 trillion yuan in new reductions accounting for 36.7% of the total [2] - The private economy, including private enterprises and individual businesses, benefits from 7.2 trillion yuan in new tax reductions, representing 72.9% of the total [2] - Small and medium-sized enterprises share 6.3 trillion yuan in new tax reductions, making up 64% of the total [2] Group 3 - Tax reduction and fee exemption policies are expected to stimulate long-term economic growth, despite short-term impacts on tax revenue [3] - Guizhou Jinze New Energy Technology Co., Ltd. has benefited from over 60 million yuan in tax incentives, which are crucial for overcoming technical challenges and expanding production [3] - The R&D expense deduction policy is optimized, with 3.32 trillion yuan in deductions expected for 2024, reflecting a 25.5% increase from 2021 [3] Group 4 - As of mid-2023, the number of tax-related business entities in China exceeded 100 million, an increase of 30 million since 2020 [4] - Sales revenue in the equipment manufacturing and high-tech manufacturing sectors grew at annual rates of 9.6% and 10.4%, respectively, from 2021 to 2024 [4] - The share of private economy sales revenue in the national total increased from 68.9% in 2020 to 71.7% in mid-2023 [4] Group 5 - Tax reduction and fee exemption policies are accelerating the formation of a virtuous cycle of enterprise development, industrial upgrading, and economic growth [5] - Wuxi Turbine Blade Co., Ltd. received 194 million yuan in R&D expense deductions and over 68 million yuan in other tax incentives, which significantly support its innovative projects [5] - Various tax services are being implemented to ensure that policy benefits reach enterprises promptly, including tailored support and compliance checks [5] Group 6 - During the "14th Five-Year Plan" period, tax authorities have investigated 21,800 cases of fraudulent tax benefits, recovering 26.9 billion yuan in taxes [6] - Continuous exposure of tax fraud cases indicates a commitment to protecting legitimate tax benefits [6] - The application of tax big data and the improvement of the tax credit system enhance tax regulation and management, ensuring that tax reduction benefits are effectively realized [6]

Group 1 - The implementation of structural tax reduction and fee reduction policies is a crucial measure for promoting high-quality economic development, with an expected cumulative reduction of over 10 trillion yuan during the "14th Five-Year Plan" period [1][2] - The tax incentives have significantly benefited various enterprises, with Hebei Yinghu Agricultural Machinery Co., Ltd. enjoying over 28 million yuan in tax benefits in 2024, contributing to a projected revenue of nearly 770 million yuan and a profit of 110 million yuan [1][2] - The national tax authority reported that the total tax reduction and fee reduction during the "14th Five-Year Plan" period is expected to reach 10.5 trillion yuan, with export tax rebates exceeding 900 billion yuan [1][2] Group 2 - The focus of the tax reduction policies is on supporting technological innovation and advanced manufacturing, with 3.6 trillion yuan in new reductions, accounting for 36.7% of the total [2] - The private economy, including private enterprises and individual businesses, benefits significantly, with 7.2 trillion yuan in new tax reductions, representing 72.9% of the total [2] - Small and medium-sized enterprises have received 6.3 trillion yuan in new tax reductions, making up 64% of the total [2] Group 3 - Tax reduction and fee reduction policies are expected to stimulate long-term economic growth, despite short-term impacts on tax revenue [3] - Guizhou Jinze New Energy Technology Co., Ltd. has benefited from over 60 million yuan in tax incentives, which have been crucial for overcoming financial pressures and expanding production [3] - The R&D expense deduction policy has been optimized, with 3.32 trillion yuan in deductions expected for 2024, reflecting a 25.5% increase from 2021 [3] Group 4 - As of mid-2023, the number of tax-related business entities in China has surpassed 100 million, an increase of 30 million since 2020 [4] - Sales revenue in the equipment manufacturing and high-tech manufacturing sectors has seen annual growth rates of 9.6% and 10.4%, respectively, with significant year-on-year increases in 2023 [4] - The share of private economy sales revenue in the national total has risen from 68.9% in 2020 to 71.7% in mid-2023 [4] Group 5 - A series of tax reduction and fee reduction policies are accelerating the formation of a virtuous cycle of enterprise development, industrial upgrading, and economic growth [5] Group 6 - Wuxi Turbine Blade Co., Ltd. has leveraged tax incentives to support its R&D efforts, receiving 194 million yuan in R&D expense deductions and over 68 million yuan in other tax benefits [6] - The tax authority is implementing tailored support services to ensure that policy benefits reach enterprises promptly [6] - The tax authority has cracked down on fraudulent claims for tax benefits, with 21,800 cases investigated and 26.9 billion yuan in tax recovered [6] Group 7 - The application of tax data and the improvement of the tax credit system are enhancing tax regulation and management, ensuring that tax reduction and fee reduction benefits are effectively realized [7]

Group 1 - The cumulative tax cuts and fee reductions in China from 2021 to the first half of this year reached 9.9 trillion yuan, expected to reach 10.5 trillion yuan by the end of this year, averaging over 2 trillion yuan annually [1] - Tax cuts and fee reductions are crucial for reducing the burden on enterprises and stimulating market vitality, allowing more funds for reinvestment and enhancing the multiplier effect of investments [1][2] - Structural tax cuts aim to allocate more resources to critical areas for national development, supporting the construction of a modern industrial system, with significant tax incentives for R&D expenditures [1] Group 2 - The manufacturing sector is a key focus of structural tax cuts, with measures like lowering VAT rates and increasing VAT refunds, contributing to the growth of manufacturing enterprises [2] - From 2021 to 2024, the sales revenue of manufacturing enterprises is expected to maintain around 29% of total enterprise sales, with high-end and high-tech manufacturing sectors showing annual growth rates of 9.6% and 10.4% respectively [2] - Tax cuts not only expand production and exchange but also enhance resource allocation efficiency and support the construction of a unified national market [2] Group 3 - The emphasis on improving the quality and efficiency of tax policies is essential, with a focus on utilizing tax data to better implement policies and support innovation and manufacturing [3] - Future tax policies should be refined to support foundational R&D and the transformation of technological achievements, particularly in emerging sectors like new energy and robotics [3] - The approach of using tax reductions to enhance enterprise efficiency and market vitality is a vital pathway for promoting high-quality economic development in China [3]

Core Insights - The "14th Five-Year Plan" period has seen China's economy achieve stable growth, with total tax revenue expected to exceed 155 trillion yuan, accounting for approximately 80% of total fiscal revenue [1] - A series of tax reduction and fee reduction policies have been implemented, with a cumulative expected reduction of 10.5 trillion yuan, significantly promoting economic and social development [1] - The number of tax-registered entities in China has surpassed 100 million, indicating strong market vitality and resilience [2] Tax Revenue and Reduction - Tax revenue (excluding export tax rebates) is projected to exceed 85 trillion yuan, strengthening the financial foundation for social development and improvement of people's livelihoods [1] - From 2021 to mid-2023, the cumulative tax and fee reductions reached 9.9 trillion yuan, with an expected total of 10.5 trillion yuan by the end of this year, averaging over 2 trillion yuan annually [1] - Policies focused on supporting technological innovation and advanced manufacturing accounted for 3.6 trillion yuan of the total tax reductions, representing 36.7% of the total [1] Beneficiaries of Tax Policies - Private enterprises and individual businesses benefited significantly, with tax reductions for private economic taxpayers amounting to 7.2 trillion yuan, making up 72.9% of the total reductions [1] - Small and medium-sized enterprises received 6.3 trillion yuan in tax reductions, which is 64% of the total [1] Economic Performance Indicators - The manufacturing sector's sales revenue maintained a steady share of about 29% of total sales revenue during the "14th Five-Year Plan" period, with high-tech industry sales revenue growing at an annual rate of 13.9% [2] - The sales revenue of the private economy accounted for 71.7% of total sales revenue in the first half of this year, an increase of 2.8 percentage points compared to 2020 [2] - County-level economic sales and inter-provincial trade sales as a proportion of total sales have increased by 1.5 and 3 percentage points, respectively, since 2020 [2] Support for Innovation and Tax Policy Impact - The number of individuals benefiting from personal income tax deductions increased by 55% compared to the first tax settlement in 2020, with the amount of tax reduction growing by 156.5%, from 116 billion yuan to nearly 300 billion yuan [2] - The R&D expense deduction policy has been continuously optimized, with 3.32 trillion yuan in deductions expected for the 2024 fiscal year, representing a 25.5% increase from 2021 [2]

Core Viewpoint - The press conference highlighted the significant achievements in tax reform and development during the "14th Five-Year Plan" period, showcasing China's high-quality economic and social development [1]. Group 1: Tax Revenue and Economic Growth - During the "14th Five-Year Plan," tax revenue is expected to exceed 155 trillion yuan, accounting for approximately 80% of total fiscal revenue [2]. - Tax revenue, excluding export tax rebates, is projected to surpass 85 trillion yuan, an increase of 13 trillion yuan compared to the total tax revenue during the "13th Five-Year Plan" [2]. - By mid-2023, the number of tax-related business entities in China exceeded 100 million, reflecting strong market vitality and resilience [2]. Group 2: Tax Reforms and Benefits to Citizens - The number of individuals benefiting from special additional deductions in personal income tax increased by 55% to 119 million compared to the initial settlement in 2020, with tax reductions growing by 156.5% from 116 billion yuan to nearly 300 billion yuan [3]. - Cumulative tax reductions and fee cuts from 2021 to mid-2023 reached 9.9 trillion yuan, with expectations to exceed 10.5 trillion yuan by the end of the year [4]. Group 3: Support for Enterprises and Economic Entities - Tax reductions and fee cuts aimed at supporting technological innovation and advanced manufacturing accounted for 36.7% of the total, benefiting private enterprises and individual businesses significantly [4]. - Private economic taxpayers received 7.2 trillion yuan in tax reductions, representing 72.9% of the total, while small and micro enterprises benefited from 6.3 trillion yuan, making up 64% of the total reductions [4]. Group 4: Improvement of Taxation Environment - The tax environment has improved significantly, with measures implemented to simplify tax payment processes, reducing required documentation by 50% and paper submissions by over 25% [5]. - By 2024, the annual tax payment time for enterprises in China was reduced by 78.2% compared to 2019, ranking among the top globally [5]. Group 5: Legal Framework and Governance - The tax governance system has been strengthened, with the introduction of new tax laws and regulations, including the formal implementation of the Value-Added Tax Law [6][7]. - The tax authorities have investigated 62,100 cases of tax violations, recovering 571 billion yuan in tax losses, and have increased public awareness of tax law compliance [7].

Core Insights - The "14th Five-Year Plan" period has seen China's economy achieve stable growth, with total tax revenue expected to exceed 155 trillion yuan, accounting for approximately 80% of total fiscal revenue [1] - A series of tax reduction and fee reduction policies have been implemented, with a cumulative reduction expected to reach 10.5 trillion yuan, significantly promoting economic and social development [1] Tax Revenue and Reduction - Tax revenue (excluding export tax rebates) is projected to exceed 85 trillion yuan, strengthening the financial foundation for social development and improvement of people's livelihoods [1] - From 2021 to mid-2023, the cumulative tax and fee reductions reached 9.9 trillion yuan, with an expectation to reach 10.5 trillion yuan by the end of this year, averaging over 2 trillion yuan annually [1] Policy Focus and Beneficiaries - The policies are focused on supporting technological innovation and advanced manufacturing, with 3.6 trillion yuan in new tax reductions, accounting for 36.7% of the total [1] - Among various economic entities, private enterprises and individual businesses benefited from 7.2 trillion yuan in tax reductions, making up 72.9% of the total [1] - Small and medium-sized enterprises received 6.3 trillion yuan in tax reductions, representing 64% of the total [1] Market Dynamics - As of mid-2023, the number of tax-registered business entities in China surpassed 100 million, reflecting strong market vitality and resilience [2] - The manufacturing sector's sales revenue maintained a steady share of approximately 29% of total sales revenue during the "14th Five-Year Plan" period, with high-tech industry sales revenue growing at an annual rate of 13.9% [2] Personal Income Tax and R&D Support - The number of individuals benefiting from special additional deductions in personal income tax increased by 55% compared to the first settlement in 2020, with tax reduction amounts growing by 156.5%, from 116 billion yuan to nearly 300 billion yuan [2] - The R&D expense deduction policy has been continuously optimized, with 3.32 trillion yuan in deductions expected for the 2024 fiscal year, benefiting 615,000 entities, representing increases of 25.5% and 16.7% respectively compared to 2021 [2]

Group 1 - The core viewpoint is that during the "14th Five-Year Plan" period, China's tax revenue is expected to exceed 155 trillion yuan, accounting for about 80% of total fiscal revenue [1] - Tax revenue (excluding export tax rebates) is projected to surpass 85 trillion yuan, an increase of 13 trillion yuan compared to the total tax revenue during the "13th Five-Year Plan" [1] - The tax authority's collection of social insurance fees and land transfer fees is expected to exceed 70 trillion yuan, strengthening the financial foundation for economic and social development [1] Group 2 - The structure of tax revenue is improving, with manufacturing tax revenue maintaining a steady share of around 30%, indicating the sector's crucial role in the economy [1] - The fastest growth in tax revenue is seen in modern service industries such as information software and technology services [1] - The number of tax-related business entities has surpassed 100 million, reflecting strong market vitality and resilience [2] Group 3 - Tax policies aimed at improving people's livelihoods in areas such as elderly care, childcare, healthcare, and education are expected to reduce tax burdens by an average of 11.7% annually from 2021 to 2024 [2] - Economic factors such as tax cuts, price changes, and tax source structures influence tax revenue, leading to discrepancies between economic growth and tax revenue [2] - The decline in growth rates of traditional industries like real estate has resulted in slower tax revenue growth, while emerging industries, despite their positive momentum, currently contribute less to overall tax revenue [2]

Report Summary 1. Report Industry Investment Rating No relevant content provided. 2. Core Viewpoints - On July 28, at the end of the month, the central bank conducted continuous large - scale net injections, resulting in a balanced and slightly loose capital market. The bond market continued its upward trend, while the convertible bond market adjusted, with most convertible bond issues declining. Yields on US Treasury bonds of various maturities generally increased, and yields on 10 - year government bonds of major European economies generally decreased [1]. 3. Summary by Directory 3.1 Bond Market News - **Domestic News**: - On July 28, China and the US held economic and trade talks in Stockholm, Sweden, aiming to translate the important consensus of the two heads of state into specific policies and actions [3]. - During the 14th Five - Year Plan period, the national cumulative new tax and fee cuts are expected to reach 10.5 trillion yuan, and export tax rebates are expected to exceed 9 trillion yuan [3]. - The Ministry of Industry and Information Technology emphasized eight key tasks for the second half of the year, including implementing the strategy of expanding domestic demand and promoting high - quality development of key industrial chains [4]. - The national childcare subsidy program was announced. Starting from January 1, 2025, families with children under 3 years old can receive an annual subsidy of 3,600 yuan per child [4]. - **International News**: The US Treasury Department expects net borrowing of 1.007 trillion US dollars from July to September this year, an increase of more than 450 billion US dollars from the previous forecast, mainly due to the impact of the debt ceiling. It also expects net borrowing of 590 billion US dollars from October to December [6]. - **Commodities**: On July 28, WTI September crude oil futures rose 2.38% to 66.71 US dollars per barrel, Brent September crude oil futures rose 2.34% to 70.04 US dollars per barrel, COMEX August gold futures fell 0.77% to 3,310 US dollars per ounce, and NYMEX natural gas prices fell 2.04% to 3.032 US dollars per ounce [7]. 3.2 Capital Market - **Open Market Operations**: On July 28, the central bank conducted 495.8 billion yuan of 7 - day reverse repurchase operations at a fixed - rate, quantity - tender method, with a net injection of 325.1 billion yuan [9]. - **Funding Rates**: On July 28, due to the central bank's continuous large - scale net injections, major repurchase rates declined. DR001 dropped 5.53bp to 1.462%, and DR007 dropped 7.17bp to 1.581% [10]. 3.3 Bond Market Dynamics - **Interest - rate Bonds**: - **Spot Bond Yield Trends**: On July 28, the bond market continued its upward trend. By 20:00 Beijing time, the yield of the 10 - year Treasury bond active issue 250011 fell 1.75bp to 1.7150%, and the yield of the 10 - year CDB bond active issue 250210 fell 2.75bp to 1.8000% [13]. - **Bond Tendering**: Information on the tendering of several bonds such as 25Nongfa Discount 06 (Add 3) and 25Guokai 06 (Add 25) was provided, including maturity, issuance scale, winning yield, etc. [14]. - **Credit Bonds**: - **Secondary - market Transaction Abnormalities**: On July 28, the transaction prices of 5 industrial bonds deviated by more than 10%. For example, "24Yuanhang Holdings PPN001 (Restructuring)" fell more than 13%, and "H1Bidi 01" rose more than 350% [14]. - **Credit Bond Events**: Multiple companies announced various events, such as Jingfeng Pharmaceutical failing to repay a 117 - million - yuan loan, Zhengbang Technology's subsidiary entering pre - reorganization, etc. [15]. - **Convertible Bonds**: - **Equity and Convertible Bond Indexes**: On July 28, the three major A - share stock indexes rose, with the Shanghai Composite Index, Shenzhen Component Index, and ChiNext Index rising 0.12%, 0.44%, and 0.96% respectively. The major convertible bond indexes fell, with the CSI Convertible Bond Index, Shanghai Convertible Bond Index, and Shenzhen Convertible Bond Index falling 0.70%, 0.62%, and 0.81% respectively [16]. - **Convertible Bond Tracking**: Taifu Convertible Bond announced not to redeem early and will not choose early redemption if the early - redemption clause is triggered again within the next three months [18]. - **Overseas Bond Markets**: - **US Bond Market**: On July 28, the yield of the 2 - year US Treasury bond remained unchanged at 3.91%, while yields on other maturities generally increased. The 10 - year US Treasury bond yield rose 2bp to 4.42% [21]. - **European Bond Market**: On July 28, the yield of the 10 - year UK government bond rose 3bp, while yields on 10 - year government bonds of other major European economies generally decreased. For example, the yield of the 10 - year German government bond fell 3bp to 2.69% [24]. - **Price Changes of Chinese - funded US - dollar Bonds**: As of the close on July 28, price changes of various Chinese - funded US - dollar bonds were provided, including daily changes, credit entities, bond balances, etc. [26].