China’s cabinet clears path for VAT law to take effect next month

The State Council has approved draft regulations for implementing China’s new value-added tax (VAT) law, which is aimed at governing the country’s largest source of tax revenue and set to come into effect early next year. The regulations, released for public consultation in August and approved on Friday, give detailed rules for enforcing the VAT law. Approval by the cabinet signals the regulations are moving closer to finalisation ahead of the law’s expected implementation. The VAT law was...