China: Extension of social security fund reliefs due to covid-19 pandemic

PrintMailRate-it

published on 20 July 2020 | reading time approx. 2 minutes

 
In early March 2020, the Chinese government granted several reductions/ exemptions from social security contributions in order to reduce the economic impact of the coronavirus pandemic.

 


Now the Ministry of Human Resources and Social Security (MOHRSS), the Ministry of Finance (MOF) and the State Administration of Taxation (SAT) issued a joint statement regarding an update on the “Implementation Period for Relief on Social Security Fees and Other Issues” to further reduce the economic burden of organizations, especially with regard to small and medium sized enterprises (SMEs).

Enterprises, who are facing financial difficulties during the pandemic, will thus receive extended support for their business.

The following table summarizes the extension of exemptions or reductions applied to the three areas of social security contributions: pension fund, unemployment insurance and work-related injury insurance:

Please use a desktop PC or tablet for an ideal display of the table.
​Scope
​Company size
Relief
​Updated period
Nationwide
​SME
Exemption of employer contribution for pension, unemployment and work injury insurance
​Extended until end of December 2020

Enterprises facing serious difficulties 
Delay on all social security contributions without additional charges
​Extended until end of December 2020
Nationwide (except Hubei province)
​Large enterprises
Reducing employer contribution by 50% for pension, unemployment and work injury insurance
Extended until End of June 2020
Hubei province
Large entreprises (excl. public institutions)
​Exemption of employer contribution for pension, unemployment and work injury insurance
​​Extended until end of December 2020

Exemption of employer contribution for pension, unemployment and work injury insurance
In order to make the best possible use of the extended aid measures, we recommend direct coordination with the competent local authorities, as the implementation of the measures may vary from region to region. Rödl & Partner will gladly support you in this process.

 From the article series

Contact

Contact Person Picture

Qing Cheng

Partner

+86 21 6163 5222

Send inquiry

Contact Person Picture

Vivian Yao

Partner

+86 21 6163 5200
+86 21 6163 5299

Send inquiry

 How we can help

 Read more


We use cookies to personalise the website and offer you the greatest added value. They are, among other purposes, used to analyse visitor usage in order to improve the website for you. By using this website, you agree to their use. Further information can be found in our data privacy statement.
Deutschland Weltweit Search Menu