Kaiyue Coal Chemical Leverages Policy Benefits to Boost Cost Reduction and Efficiency

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Kaiyue Coal Chemical Seizes Policy Benefits to Boost Cost Reduction and Efficiency Author/Source: Kaiyue Coal Chemical Date: 2022-05-12 Clicks: 17 In April, Kaiyue Coal Chemical took advantage of the reforms related to the VAT refund system, making full use of the new tax incentives available. As a result, the company saw an increase in cash inflows of over 7.6 million yuan that month, which significantly reduced its need for working capital and served as a catalyst for cost reduction and efficiency improvement. Since the beginning of this year, **** and the State Council, with the aim of stabilizing market expectations and helping enterprises overcome difficulties, have introduced a new set of tax and fee support measures. Building on the previous practices related to refunds for value-added tax credits, reforms to these refund systems were implemented in late March, featuring greater scale, wider coverage, and deeper implications. The Company’s Financial Assets Department took \"striving for policies to reduce costs and increase efficiency\" as its approach, kept up with the latest changes in VAT refund policies, analyzed the impacts of these policy changes, identified potential issues arising from the processes of deferring, reducing, or refunding taxes, determined key priorities, and assigned dedicated personnel to handle these tasks, thereby ensuring the smooth implementation of measures to reduce taxes and fees. At the same time, strengthen coordination and collaboration among various departments, actively maintain contact with the Hengshan District Tax Bureau, and overcome the \"last mile\" challenge in the tax refund process. Entering April, the company made active efforts to overcome the impact of the pandemic; through the concerted efforts of all employees, it achieved a significant success in terms of tax refunds for retained taxes. As of April 28, the total amount refunded was 7,601,518.12 yuan. At the bank’s annual interest rate of 3.85% for the same period, an annual income of 292,700 yuan can be expected. It will greatly alleviate the financial pressure on enterprises, providing strong impetus for their healthy development.