2022 National Regulations on Rent Reductions Due to the Epidemic: Some businesses in medium and high-risk areas will be exempted from half a year’s rent!
| Recently, affected by the epidemic, merchants in some areas are unable to ship goods normally, and store operations are facing huge challenges and difficulties. In order to fully help businesses reduce store losses and lower operating costs, the state has introduced relevant support policies. It is reported that the national regulations on rent reduction and exemption during the 2022 epidemic: some businesses in medium and high-risk areas will be exempted from half a year's rent! 1. National regulations on rent reduction due to the 2022 epidemic: Some businesses in medium and high-risk areas will be exempted from half a year's rent! On March 28, the State-owned Assets Supervision and Administration Commission of the State Council issued the "Notice on Doing a Good Job in Rent Reduction and Exemption for Small and Micro Enterprises and Individual Business Owners in the Service Industry in 2022", which clearly stated that all central enterprises must, in accordance with the requirements of Document No. 271, reduce or exempt six months' rent for small and micro service enterprises and individual business owners who lease houses from central enterprises in county-level administrative regions that are listed as medium- and high-risk areas for the epidemic in 2022 (refer to national administrative division standards) (for areas listed as medium- and high-risk areas for the epidemic in the fourth quarter, the six months' rent must be fully exempted through methods such as rent termination in the current year or exemption in the next year), and three months' rent will be exempted in other areas. 2. How to implement the six-month rent reduction or exemption for some businesses in medium- and high-risk areas? According to the latest notice issued by the State-owned Assets Supervision and Administration Commission: 1. Improve your position and actively play a leading role. The service industry is an important part of the national economy. Small and micro enterprises and individual industrial and commercial households in the service industry play an important role in prospering the market, promoting employment and maintaining stability. Recently, affected by the impact of the epidemic and other adverse factors, small and micro enterprises and individual industrial and commercial households in the service industry have encountered difficulties in operation and are facing a severe survival crisis. All central enterprises should proceed from the perspective of stabilizing market entities, doing a good job in the six stability tasks, and implementing the six guarantees tasks, resolutely implement the decisions and deployments of the Party Central Committee and the State Council, actively implement the requirements of the rent reduction and exemption policy, and effectively reduce the operating burden of small and micro enterprises and individual industrial and commercial households in the service industry, and demonstrate the responsibility of central enterprises at critical moments. 2. Elaborate measures and effectively implement the tax reduction and exemption policies. All central enterprises must, in accordance with the requirements of Document No. 271, reduce or exempt six months' rent for small and micro service enterprises and self-employed businesses that lease houses from central enterprises in county-level administrative regions that are listed as medium- and high-risk areas for the epidemic in 2022 (refer to the national administrative division standards). For areas listed as medium- and high-risk areas for the epidemic in the fourth quarter, the six months' rent must be fully exempted through methods such as rent termination in the current year or exemption in the next year. Three months' rent will be exempted in other areas. All central enterprises should speed up the research and determination of the specific implementation details of the rent reduction policy and ensure its implementation so as to enhance the sense of gain of market entities as soon as possible. The main work of universal rent reduction and exemption for three months should be completed in the first half of the year, and the additional work of rent reduction and exemption for three months should be completed within two months after the area is listed as medium- or high-risk. For those who sublet or share the houses of central enterprises, we must continue to increase our efforts to ensure that the rent reduction policy is effectively transmitted to the actual tenants. For subsidiaries with diversified equity, we must actively communicate and coordinate, strive for the understanding and support of small and medium shareholders, and provide rent reductions after standardizing internal decision-making procedures. If the subsidiaries encounter financial difficulties due to the implementation of the rent reduction policy, the superior enterprise or group company should provide financial support. Regarding the classification standards for the service industry, please refer to the National Bureau of Statistics' "National Economic Industry Classification" (in principle, all tertiary industries can be regarded as service industries), and give priority to exemptions for industries covered by Document No. 271. For the definition of small and micro enterprises, please refer to the "Notice on Issuing the Standards for Classifying Small and Medium-sized Enterprises" (MIIT Joint Enterprise [2011] No. 300) or the small and micro enterprise list query module on the website of the State Administration for Market Regulation. 3. Standardize operations and improve supervision and inspection methods. All central enterprises must truly assume the main responsibility, formulate rent reduction implementation plans, strictly follow the approval process, and ensure efficiency, convenience, standardization and order. Tenants who do not meet the conditions shall not be allowed to reduce or exempt rents, and arbitrary reduction or exemption shall be prevented. Carry out in-depth supervision and inspection, rectify problems in a timely manner when discovered, and hold companies and relevant persons in charge accountable for failing to implement the rent reduction policy and for illegal operations that cause the loss of state-owned assets. Improve the mechanism for handling rent reduction issues, and properly handle issues and demands in accordance with the law. The SASAC will increase its supervision and guidance efforts, and verify each clue of problems reported by relevant parties one by one. If the implementation of the rent reduction or exemption policy by central enterprises has an impact on their current operating performance, the SASAC will exclude them from the assessment. All central enterprises are requested to sort out and compile statistics on the rent reductions and exemptions for small and micro enterprises and individual industrial and commercial households in the service industry for their own business premises (including office buildings, shops, warehouses and factories, etc.) of subsidiaries at all levels within the group in 2022, and fill in the statistical forms and submit them to the State-owned Assets Supervision and Administration Commission (Financial Supervision and Operation Evaluation Bureau) before the 5th of each month. |
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