On January 16, the Ministry of Finance and the State Administration of Taxation issued the Announcement on the Continued Implementation of the Preferential Policies for Individual Income Tax, which stated that in order to support the innovative development of China's enterprises and the opening up of the capital market, the preferential policies for individual income tax were clarified. The announcement said that the separate tax preferential policies for equity incentive of listed companies stipulated in the Announcement of the Ministry of Finance and the State Administration of Taxation on the Extension of the Individual Income Tax Preferential Policies such as the One-time Bonus of the Whole Year (Announcement No. 42 of the Ministry of Finance and the State Administration of Taxation in 2021) would continue to be implemented from January 1, 2023 to December 31, 2023. The announcement said that the preferential policies for individual income tax stipulated in the Announcement of the Ministry of Finance, the State Administration of Taxation and the Securities Regulatory Commission on the Continued Implementation of the Interconnection Mechanism of the Stock Market Transactions between Shanghai and Hong Kong and the Relevant Individual Income Tax Policies for the Mutual Recognition of Funds between the Mainland and Hong Kong (Announcement No. 93 of the Ministry of Finance, the State Administration of Taxation and the Securities Regulatory Commission in 2019) would continue to be implemented from January 1, 2023 to December 31, 2023. Previously, the content of this policy was to continue to exempt the personal income tax from the transfer difference income of mainland individual investors from investing in Hong Kong stock listed on the Stock Exchange of Hong Kong through the Shanghai-Hong Kong Stock Connect and the Shenzhen-Hong Kong Stock Connect and from the transfer difference income of trading Hong Kong fund units through mutual fund subscription from December 5, 2019 to December 31, 2022. (Xinhua News Agency)