China’s Premier Li Keqiang attends a meeting with Ecuadorean President Lenin Moreno at the Great Hall of the People in Beijing, China December 13, 2018. Fred Dufour/Pool via REUTERS
SHANGHAI (Reuters) – China’s tax cuts for smaller companies are mainly intended to support employment and ensure economic stability, Premier Li Keqiang was quoted as saying.
China rolled out a series of support measures for its cooling economy last year and is widely expected to unveil more in coming months to reduce the risk of a sharper slowdown.
“Implementing tax cuts for small and micro enterprises is mainly to support employment,” Li said, according to a statements posted to the government’s website on Saturday.
China’s State Council, or cabinet, said on Jan. 9 that it would further reduce taxes for smaller companies. On Friday, Finance Minister Liu Kun said authorities would step up tax and fee cuts to lower corporate burdens.
Reporting by Andrew Galbraith; Editing by Kim Coghill