Guangdong Offers Preferential VAT Policies for Housing Rental Enterprises

According to guidelines recently issued by the Guangdong Provincial Tax Service of the State Taxation Administration, general taxpayers of value-added tax (VAT) on enterprises that obtain an income from renting residential properties or affordable housing to individuals shall calculate VAT payable using the simplified VAT calculation method. Small-scale taxpayers shall pay this tax at a reduced rate of 1.5%, down from 5%.