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Energy & Environment

VAT levied on pipeline connections

A 13 per cent value added tax has been placed on pipeline connection fees charged by mainland gas distributors to consumers, reported South China Morning Post. The tax, which replaces a 3 per cent business tax on turnover, would mostly be passed on to consumers, said analysts.

A tax consultant commented that the change was part of the central government's efforts to bring the tax regime more into line with international practices.

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