Core Viewpoint - The Ministry of Finance and the State Taxation Administration announced on August 22 the improvement of the tax refund policy for retained tax credits, adjusting refund ratios and conditions for certain industries to enhance policy precision and support key sectors [1][2]. Group 1: Policy Adjustments - From September 2025, the policy of full monthly refunds for retained tax credits will continue for four key industries: manufacturing, scientific research and technical services, software and information technology services, and ecological protection and environmental governance [3]. - Other industries will have specific conditions and ratios for tax refunds, allowing eligible taxpayers to fully repay previously obtained retained tax refunds or opt for immediate collection or subsequent refunds [3]. Group 2: Industry Focus - The continuation of full refunds for retained tax credits in key sectors such as manufacturing, technological innovation, and green development reflects a policy direction that aligns with national development strategies [6]. - The real estate industry will maintain its existing retained tax refund policy, ensuring policy continuity and supporting the stabilization of the real estate market [6]. Group 3: Policy Evolution - The new policy signifies a shift in fiscal policy from a "universal benefit" approach to a "precise drip irrigation" strategy, targeting specific industries for support [7].

Core Points - The Ministry of Finance and the State Taxation Administration announced improvements to the tax refund policy for retained input VAT, adjusting refund ratios and conditions for certain industries to enhance policy precision and support key sectors [1] - The new policy continues to implement full monthly refunds for retained tax amounts in manufacturing, scientific research and technical services, software and information technology services, and ecological protection and environmental governance industries starting from the September VAT declaration period [1] - Other industries will have specific conditions and ratios for tax refunds, allowing eligible taxpayers to fully repay previously obtained retained tax refunds or opt for immediate collection or deferred refunds [1] - The policy shift reflects a transition from a "universal benefit" approach to a "targeted support" strategy, focusing on key areas such as manufacturing, technological innovation, and green development [1] - The policy maintains the existing tax refund measures for the real estate sector, ensuring continuity and supporting the stabilization of the real estate market [1] - Other industries will no longer benefit from large-scale temporary tax refund policies, reverting to the retained tax refund system established in 2019 [1]