Approaching the end of the year, Yu Xiaobao brings you good news: social security premiums have been reduced!
Recently, the official documents of the human resources and social security in many places have made it clear that the rates of medical insurance, unemployment insurance, and work-related injury insurance will be reduced in stages from 2024.
Everyone hurry up and forward this good news to more people to know~
Official post
Reduce the cost of medical insurance for enterprises
1. Guangdong Province
Recently, the Guangdong Provincial People's Government issued the "Notice of the General Office of the People's Government of Guangdong Province on Printing and Distributing Several Measures to Reduce Manufacturing Costs and Promote the High-quality Development of Manufacturing Industry in Guangdong Province".
Original Policy:
https://www.gd.gov.cn/xxts/content/post_4284793.html
Yu Xiaobao will give you the key points:
Yu Xiaobao will give you the key points:
1. Reduce the cost of medical insurance for manufacturing enterprises
When the cumulative balance of the basic medical insurance pooling fund for employees (excluding the one-time prepayment of basic medical insurance premiums) can be paid for more than 9 months, the payment rate of the employer can be reduced in stages to minimize the payment burden of enterprise medical insurance.
Fish Treasure Expansion:
On December 20, the Foshan Municipal Medical Insurance Bureau issued the "Notice on the Phased Adjustment of the Payment Rate of Employee Medical Insurance Employers".
Original Policy:
https://guangdong.chinatax.gov.cn/gdsw/fssw_tzgg/2023-12/21/content_c0d904b0cfb54683bf3c9cf0a14d3ba6.shtml
The "Notice" clarifies that the payment rate of Foshan employee medical insurance employers will be adjusted in stages, and the payment rate of employers will be adjusted to 4% in 2024, and other payment standards (excluding the payment base of unemployed persons, injured employees and retirees with first- to fourth-degree disabilities) will be implemented according to the current standards.
In addition, it was also announced that from January 1, 2024 to December 31, 2025, the payment rate of basic medical insurance for all employees in Qingyuan will be reduced from 6.5% to 6.0%.
2. Tax reduction and fee reduction
The first is to implement the policy of pre-tax deduction of R&D expenses of manufacturing enterprises. Enterprises can prepay and declare the second quarter (or June) enterprise income tax in July each year, prepay and declare the third quarter (or September) enterprise income tax in October, and enjoy the additional deduction of R&D expenses when the annual final settlement is made in the following year, so as to realize the early payment of tax and save cash flow.
The second is to implement the VAT deduction policy for advanced manufacturing enterprises. Enterprises can enjoy preferential treatment when filing VAT on a monthly basis, further reducing the tax burden of enterprises.
The third is to implement the policy of pre-tax deduction and value-added tax deduction for R&D expenses of integrated circuit and industrial machine tool enterprises, and increase support for integrated circuit and industrial machine tool enterprises.
2. Hangzhou City, Zhejiang Province
In November 2022, the Hangzhou Municipal Medical Insurance Bureau of Zhejiang Province issued the Notice of the Hangzhou Municipal Medical Security Bureau, the Hangzhou Municipal Finance Bureau and the Hangzhou Municipal Taxation Bureau of the State Administration of Taxation on Adjusting the Payment Rate of Basic Medical Insurance (Including Maternity Insurance) for Employees, clarifying that the payment rate of medical insurance for employees will be reduced from January 1, 2023.
Original Policy:
http://www.hangzhou.gov.cn/art/2022/11/9/art_1229063383_1827130.html
The notice specifies:
From January 2023, the unit contribution ratio of basic medical insurance (including maternity insurance) for employees in Hangzhou will be adjusted to 9.5% (including 0.6% for maternity insurance), and the payment rate for participating in the basic medical insurance (including maternity insurance) for employees in Hangzhou as flexible employees shall be implemented according to the same standard.
Social Security Fee Reduction
Ongoing in 2024
Although the above-mentioned reduction in medical insurance rates is limited to Guangdong Province, it should not be forgotten that the relevant policies of social security fee reduction will continue until the end of 2024.
On March 29, 2023, the Ministry of Human Resources and Social Security, the Ministry of Finance and the Ministry of Taxation jointly issued the Notice on Issues Concerning the Phased Reduction of Unemployment Insurance and Work-related Injury Insurance Rates, which clarified that the social insurance fee reduction policy will be extended until the end of 2024.
Original Policy:
http://www.mohrss.gov.cn/xxgk2020/fdzdgknr/zcfg/gfxwj/shbx/202303/t20230330_497764.html
Yu Xiaobao will give you the key points:
1. From May 1, 2023, the policy of reducing unemployment insurance premiums to 1% in stages will continue to be implemented, and the implementation period will be extended to the end of 2024. Within the administrative area of the province (autonomous region, municipality), the rate of units and individuals shall be uniform, and the individual rate shall not exceed the unit rate;
2. From May 1, 2023, in accordance with the relevant implementation conditions of the Notice of the General Office of the State Council on Printing and Distributing the Comprehensive Plan for Reducing Social Insurance Premiums (Guo Ban Fa [2019] No. 13), the policy of reducing work-related injury insurance premiums in stages will continue to be implemented, and the implementation period will be extended to the end of 2024.
and other places have also issued notices to issue phased reductions in social security premiums:
1. Shanghai
In April 2023, the Shanghai Municipal Human Resources and Social Security Bureau, the Shanghai Municipal Bureau of Finance, and the Shanghai Municipal Taxation Bureau of the State Administration of Taxation issued the Notice on Continuing to Reduce the Social Insurance Rates for Urban Employees in Shanghai in Stages (Hu Ren She Gui [2023] No. 9).
Original Policy:
https://rsj.sh.gov.cn/cmsres/08/0861ad4b6061435389bdabddc4b55e5c/4c5c20ef262a19081ffd3ff7b25f72f6.pdf
The main contents of the Notice are as follows:
1. Continue to reduce unemployment insurance premiums in stages
From May 1, 2023 to December 31, 2024, the city's unemployment insurance will continue to implement a 1% contribution ratio, of which 0.5% will be paid by units and 0.5% by individuals.
2. Continue to reduce work-related injury insurance rates in stages
From May 1, 2023 to December 31, 2024, the benchmark rate of work-related injury insurance for employers in Categories 1 to 8 industries in Shanghai will continue to be reduced by 20% on the basis of the industry benchmark rate stipulated by the state.
2. Zhejiang
In May 2023, the Zhejiang Provincial Department of Human Resources and Social Security forwarded the Notice on Issues Concerning the Phased Reduction of Unemployment Insurance Premiums.
Original Policy:
http://gjj.hainan.gov.cn/hngjj/zwdt/202208/b24ac0dc960d4d0e8275335fd8b35936.shtml
The Notice clarifies that:
1. From May 1, 2023 to December 31, 2024 (the period to which the fee belongs), the policy of reducing unemployment insurance rates in stages will continue to be implemented, and the unemployment insurance unit rate and individual rate in the province will still be implemented at 0.5% respectively.
3. Anhui Province
In April 2023, the Anhui Provincial Taxation Bureau of the State Administration of Taxation issued the Notice on Issues Concerning the Phased Reduction of Unemployment Insurance Rates (Anhui Ren She Secretary [2023] No. 107).
Original Policy:
http://anhui.chinatax.gov.cn/art/2023/5/5/art_13773_63078.html
The main contents of the Notice are as follows:
From May 1, 2023, the policy of reducing the unemployment insurance rate to 1% in stages will continue to be implemented, and the insured units and individual employees will pay unemployment insurance premiums at a rate of 0.5%, and the implementation period will be extended to the end of 2024. In accordance with the spirit of the relevant state documents, work-related injury insurance continues to implement the current benchmark rate.
Source: 51 Social Security Network