Increased support promised for small companies

China is to further strengthen its support for small and micro-businesses through political and fiscal measures, including tax exemptions for companies with monthly sales of less than 30,000 yuan ($4,880).

The central government also vowed to make "tangible progress" in establishing small and medium-sized banks funded by private capital to facilitate financing, as was announced after the most recent executive meeting of the State Council on Wednesday.

From Oct 1 until the end of 2015, companies with monthly sales of less than 30,000 yuan will be exempted from the value added tax and business tax, according to the circular. The current benefits apply only to small businesses with monthly sales of less than 20,000 yuan.