China is replacing the current business tax with value-added tax or VAT and widening the pilot program nationwide.
Post and telecommunications, railway transportation and construction industries are believed to be the next group of industries that will be added to the VAT plan.
Shanghai was the first city to implement the pilot program at the beginning of this year. Later, it has been extended to 9 provincial regions and 3 cities.
Wang Weiqing,a council member of the China International Taxation Research Institute, elaborates the two most important changes.
"First, i
