From 1 January, contraceptives will be subject to a 13% VAT rate – part of a carrot-and-stick approach by the government to increase births

From 1 January, contraceptives will be subject to a 13% VAT rate – part of a carrot-and-stick approach by the government to increase births

China is set to impose a value-added tax (VAT) on condoms and other contraceptives for the first time in three decades, as the country tries to boost its birthrate and modernise its tax laws.

From 1 January, condoms and contraceptives will be subject to a 13% VAT rate – a tax from which the goods have been exempt since China introduced nationwide VAT in 1993.

The measure was buried in a VAT law passed in 2024 in an effort to modernise China’s tax regime. VAT accounts for nearly 40% of China’s total tax revenue.

  • BackgrndNoize@lemmy.worldEnglish
    41·
    16 hours ago

    If the Chinese goverment is increasing taxes on condoms to force people to give birth more, I doubt they will let men get vasectomies easily

    • comador @lemmy.worldEnglish
      4·
      16 hours ago

      Best part about being in Asia is you’re a couple hour flight to Thailand, Singapore, India, Malaysia, and South Korea where such things like medical tourism is common for Chinese.