Online system to cut tax issues in FTZ

AN online service system was launched in Shanghai's pilot free trade zone that will help cut administrative approval requirement for companies, the city's taxation bureau said yesterday.

The new system, effective today, will automatically generate a tax registration number for companies based on information provided by the management and the city's quality and technical inspection bureau, the tax authorities said in a statement .

It is the first time in China that tax payers don't need to apply for administrative approval to set up a tax account. Tax payers can use the number to track tax information online.

Being able to generate an automatic tax registration number is one of the 10 new online taxation functions unveiled yesterday in the free trade zone to facilitate tax payment and tax claims.

"The measure (automatic tax registration number generation) is the most important in our digital innovation as it effectively changes our original approval mechanism, and marks a reform in government functions," said Guo Jianfei, head of the Shanghai tax bureau.

Other online functions released yesterday include growing use of electronic invoices, providing cross-region taxation services, online registration for existing tax incentives, capital account tax management, authorizing value-added-tax payer identification, and new credit assessment system.

Authorities aim to create an innovative tax service and regulations by October that can be used in other regions in China.