Animation Enterprises: Business Tax Levied at a Reduced Rate of 3%
Animation enterprises recognized by relevant departments of the State Council that independently develop and produce animation products may, in accordance with the scope and management methods of preferential policies for animation products and enterprises formulated by the Ministry of Finance and the State Administration together with relevant departments, be subject to a temporarily reduced business tax rate of 3% for their self-developed and produced animation products involving taxable services (excluding advertising and entertainment industries).
Relevant Policy Provisions:
1. Animation enterprises and products refer to those recognized as such according to national standards and procedures. Qualified software and animation enterprises and their products enjoy the relevant preferential policies stipulated by the state and province.
2. Enterprises applying for recognition as animation enterprises should simultaneously meet the following criteria: (1) Enterprises legally established within the territory of China; (2) The main operating income from animation products accounts for more than 60% of the enterprise's total annual income; (3) Income from independently developed and produced animation products accounts for more than 50% of the main operating income; (4) Possessing employees with a college degree or above, or having passed the national animation talent professional...