Taiwan compatriots to enjoy preferential treatment

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The Chinese mainland will offer further preferential policies for Taiwan compatriots, said Ma Xiaoguang, spokesperson for the State Council Taiwan Affairs Office, on Wednesday at a press conference.

Taiwan compatriots will enjoy tax incentives based on the newly amended individual income tax law, which is set to be effective starting January 1, 2019, Ma said.

Before the individual income tax law was revised, Chinese overseas, including Taiwan compatriots, who have lived in the Chinese mainland for up to five years and don't own a house in the Chinese mainland, were exempt from tax on overseas income gained from outside the Chinese mainland.

People overseas only pay individual income tax based on their income gained from the Chinese mainland and overseas income gained from payment on the Chinese mainland, he said.

According to the amended regulation, the exemption period will be extended to six years.

Kinmen Islands in Taiwan is only about 161 kilometers away from the Chinese mainland. / VCG Photo

In addition, the Chinese mainland will make more efforts to create a better business environment for Taiwan-funded enterprises and more convenient life for Taiwan compatriots.

Thanks to a number of new measures announced by the Chinese mainland to enhance cross-Strait economic and cultural exchanges and cooperation, over 1,000 Taiwan-funded enterprises have enjoyed preferential policies, and some even won the bidding for major government procurements in the Chinese mainland this year, such as Hong Kong-Zhuhai-Macao bridge and Beijing's new airport.

The number of Taiwan students applying for colleges, internships, employment or establishing businesses in the Chinese mainland maintained double-digit growth in 2018.

Thirty-one measures announced by the Taiwan Affairs Office of the State Council in February this year include equal treatment for Taiwan enterprises and providing Taiwan compatriots equality with Chinese mainland compatriots in education, setting up businesses, working and living in the Chinese mainland.

The Spring Festival, or the New Year according to the lunar Chinese calendar, is the most important holiday in our culture and both sides across the Strait have approved extra flights for the season over the years, Ma said.

Five new cross-Strait exchange bases will be set up to promote enhanced communication between people on both sides of the Taiwan Strait to understand history and culture, the spokesperson noted.

A total of 66 exchanges bases have already been set up on the Chinese mainland since 2009, including the Confucius Temple in east China's Shandong Province.

(With inputs from Xinhua)