China's four-year extension of the individual income tax policies for foreign nationals is "very positive news," said the European Union Chamber of Commerce in China in a statement issued on Monday.
The extension means that certain expenses, such as housing, children's education and language training, will continue to be exempt from taxation.
"Announced on the margins of the start of the new school year, it will be extremely welcome news for families that have made the decision either to come to or remain in China," said the chamber's statement.
This announcement comes on the heels of the State Council's policy measures on further optimizing the foreign investment environment and increasing efforts to attract foreign investment.
Considering this move suggests an upcoming extension of China's individual income tax system for foreign nationals, the European Chamber is hopeful that further concrete measures will now be taken to implement the other points contained in this document, said the statement.