When will the phased reduction of employee basic medical insurance premiums begin? The tax reduction period shall not exceed 5 months! (Attached with full text)

In order to effectively reduce the burden on enterprises, support enterprises to resume work and production, and do a good job in both epidemic prevention and control and economic and social development, the National Healthcare Security Administration, the Ministry of Finance, and the State Administration of Taxation recently jointly issued the "Guiding Opinions on the Phased Reduction of Employee Basic Medical Insurance Premiums" (hereinafter referred to as the "Opinions"). So, when will the phased reduction of employee basic medical insurance premiums begin?

The Opinion clarifies the basic idea of ​​halving the collection of employee medical insurance premiums in stages. Each province shall guide the coordinated regions to formulate specific policies based on actual conditions and on the premise of ensuring the medium- and long-term balance of fund revenue and expenditure:

1. First, starting from February 2020, the employer's contribution to employee medical insurance can be reduced by half, and the reduction period shall not exceed 5 months.

2. The second is to implement policies in a classified manner. In principle, the unified planning areas where the accumulated balance of the unified planning fund can pay for more than 6 months can implement tax reduction. If the accumulated balance of the unified planning fund can pay for less than 6 months but there is a real need for tax reduction, the provinces will provide guidance for overall consideration and arrangement. The deferral policy can continue to be implemented.

3. The third is to continuously improve the handling and management services to ensure the payment of benefits, and the implementation of tax reduction and deferral will not affect the insured persons' enjoyment of current benefits.

4. Fourth, we will strengthen fund management, do a good job in statistical monitoring and follow-up analysis, take effective measures, manage system operation risks, and ensure the medium- and long-term balance of fund revenue and expenditure.

The "Opinion" requires that provinces that decide to implement the tax reduction policy should formulate specific plans and report them before March 5, and earnestly organize and implement them.

The People's Governments of all provinces, autonomous regions, and municipalities directly under the Central Government, and the Xinjiang Production and Construction Corps:

In order to implement the important instructions of General Secretary Xi Jinping on the prevention and control of the new coronavirus pneumonia epidemic, effectively reduce the burden on enterprises, and support enterprises to resume work and production, in accordance with the relevant provisions of the Social Insurance Law, with the approval of the State Council, the following guiding opinions are hereby put forward on the phased reduction of employer contributions for employee basic medical insurance (hereinafter referred to as employee medical insurance):

1. Starting from February 2020, all provinces, autonomous regions, municipalities directly under the central government and the Xinjiang Production and Construction Corps (hereinafter referred to as provinces) may guide the coordinated areas to reduce the employer contribution portion of employee medical insurance by half based on the fund operation situation and actual work needs, on the premise of ensuring the medium- and long-term balance of fund revenue and expenditure. The reduction period shall not exceed 5 months.

2. In principle, tax reduction can be implemented in the unified planning areas where the accumulated balance of the unified planning fund can pay for more than 6 months; for the unified planning areas where the accumulated balance of the unified planning fund can pay for less than 6 months but there is a real need for tax reduction, the provinces will guide and coordinate the arrangements. The deferral policy can continue to be implemented. In principle, the deferral period shall not exceed 6 months, and no late payment fees shall be charged during the deferral period.

3. All provinces should guide the coordinated regions to continuously improve the handling and management services to ensure the payment of benefits, and the implementation of tax reduction and deferral should not affect the insured persons' enjoyment of current benefits. Participating units should fulfill their obligations to withhold and pay individual contributions in accordance with the law, and medical insurance agencies should keep good records of personal rights and interests to ensure that personal rights and interests are not affected. Optimize business processes and do not increase the administrative burden on participating units.

4. All provinces should guide the coordinated regions to effectively strengthen fund management, do a good job in statistical monitoring, track and analyze the operation of the funds, take practical and effective measures, manage system operation risks, and ensure the medium- and long-term balance of fund revenue and expenditure. The gap in revenue and expenditure of the unified planning fund caused by the tax reduction shall be resolved by the unified planning region itself. Provinces can reasonably adjust the 2020 fund budget based on the tax reduction situation.

5. Provinces that have already implemented policies to support enterprises, such as a phased reduction in unit rates, may continue to implement them, or they may guide the overall regional adjustment policies in accordance with the spirit of these guidelines. Pooling areas that have implemented a phased reduction in employee medical insurance unit premium rates may not simultaneously implement measures to reduce collection by half.

All provinces should improve their ideological understanding, strengthen organizational leadership, and provide classified guidance to coordinate regions to do relevant work well. For provinces that decide to implement the tax reduction policy, the specific implementation plans shall be submitted to the Medical Insurance Bureau, the Ministry of Finance, and the State Administration of Taxation for filing before March 5. The medical insurance, finance, taxation and other departments at all levels should strengthen coordination, perform their duties earnestly, and make every effort to do a good job in medical insurance during the epidemic prevention and control period, ensure that policies are implemented in place, and report important situations in a timely manner.