Home » China offers childcare tax breaks to encourage births

China offers childcare tax breaks to encourage births

by archyw

Beijing announced on May 31 that it would allow married couples have up to three children, instead of just two.

In 2016, it removed the one-time policy in favor of a two limit for avoiding the economic risks of a rapidly aging population. But that did not lead to a sustained increase in births given the high cost of parenting in Chinese cities, a challenge that persists to this day.

China had a fertility rate of only 1.3 children per woman in 2020According to recent data, on par with aging societies such as Japan and Italy and well below the 2.1 required for the replacement level.

The policy document, jointly adopted by the ruler Chinese Communist Party (CCP) and the Council of State in June and released by the official Xinhua news agency on Tuesday, it detailed specific measures to implement the three-child policy.

Parents with a third child will no longer have to pay a fine or face penalties. The third child will no longer face restrictions in obtaining a family registration permit, known as a hukou, or a place in schools.

What’s more, expenses incurred in caring for children under the age of three will be tax deductibles. Local governments must take “due care” of parents with minors who request to rent public flats, according to the newspaper.

China will also standardize and regulate the use of assisted reproductive technology, indicó Xinhua.

In May, a 10-year census showed the population grew at its slowest pace in the last decade since the 1950s, to 1.41 billion.

Read Also:  The FOPH wants mandatory tests for nursing staff

Related Articles

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.