Economic vitality behind "small cell" based on acceleration data of 2023.

  There is a kind of fireworks, called small shops. Hundreds of millions of individual industrial and commercial households and small and micro enterprises spread all over urban and rural areas are "small cells" of the national economy and "a pool of spring water" to activate the socialist market economy.

  Small and micro markets have a large number of subjects and sufficient vitality.

  Recently, the statistics of the General Administration of Market Supervision show that as of January 2023, there were 170 million market players in China, including 114 million individual industrial and commercial households, accounting for about two-thirds of the total, driving nearly 300 million people to obtain employment.

  Breaking through 100 million households, accounting for two-thirds, and driving nearly 300 million people to work, these are amazing figures. In the large market with a population of more than 1.4 billion, roughly speaking, one in a dozen people is an individual industrial and commercial household. Uncle’s small restaurant on the street, big sister’s fruit stall in the farmer’s market, and aunt’s life supermarket downstairs … … In every corner of urban and rural areas, individual industrial and commercial households have mushroomed.

  No matter how small the enterprise is, it is the "life" in the market. Individual industrial and commercial households account for nearly 90% of the tertiary industry, focusing on wholesale and retail, accommodation and catering, residential services and other industries, which really enrich the "fireworks" of people’s lives. Small shops and shops contain large account books related to people’s livelihood and life, which are the "capillaries" of economic activities and have very important practical significance for stabilizing growth, promoting employment and benefiting people’s livelihood.

  In the past three years, China’s individual industrial and commercial households have gradually improved their adaptability and operational flexibility by increasing or broadening online channels, demonstrating the strength and resilience of the economic fundamentals.

  According to the enterprise survey data, from 2019 to 2022, the number of newly registered individual industrial and commercial households in China increased steadily year by year, and exceeded 20 million for the first time in 2021. In 2020, 2021 and 2022, the number of new registrations increased by 13.3%, 6.6% and 2.4% respectively. Although the year-on-year growth rate slowed down, the number of new registrations still increased steadily.

  Recently, China Small and Medium Enterprises Association announced the economic operation of small and medium-sized enterprises in China. In January 2023, the development index of small and medium-sized enterprises in China was 88.9, which was 1 point higher than that in December last year, and the increase rate reached the highest level in the past two years. Among them, the confidence of enterprise development rebounded, and the macroeconomic perception index reflecting the confidence of enterprises was 98.7, up 2.1 points from last month. Market expectations have been boosted, with a market index of 80.7, up 0.9 points from the previous month.

  In recent years, a large number of small and medium-sized enterprises and individual industrial and commercial households have faced many difficulties, but their confidence in development has not diminished. This confidence comes from its inherent resilience, from the struggle of operators, and more from the new opportunities brought by national development.

  Faced with new opportunities for development, small and micro market entities such as individual industrial and commercial households actively explore new technologies, new formats and new models, and become an important force for entrepreneurial innovation. According to the introduction of the General Administration of Market Supervision, in 2022, the growth rate of newly established individual industrial and commercial households in emerging service industries was strong. From January to August 2022, the growth rate of newly established individual industrial and commercial households in "scientific research and technical service industries" and "culture, sports and entertainment industries" reached 65.5% and 45.4% respectively. There were 5.112 million newly established "four innovations" (new technologies, new industries, new formats and new modes) economic individual industrial and commercial households, accounting for 37.6% of the total number of newly established individual industrial and commercial households, with a year-on-year increase of 1.0%.

  By the end of August 2022, there were 32.221 million individual industrial and commercial households in the "four new" economy, accounting for 29.4% of the total registered individual industrial and commercial households, an increase of 12.7 percentage points over 2012. The "new individual economy" such as webcasting and Wechat business e-commerce have emerged one after another, injecting new vitality into economic transformation and upgrading.

  Policies and measures to benefit enterprises "enrich blood" and "make blood"

  Revitalizing the vitality of individual economy is inseparable from the tax "blood transfusion for oxygen". In recent years, various regions and departments have also introduced a series of policies and measures to help the development of small and micro market entities such as individual industrial and commercial households, so as to help the poor accurately.

  In 2020, individual industrial and commercial households will be exempted from social security fees in stages, and individual industrial and commercial households will be allowed to delay the payment of personal income tax and social security fees for the current year.

  In 2021, China will increase the monthly sales of small-scale taxpayers, including individual industrial and commercial households, from 100,000 yuan to 150,000 yuan. For those individual industrial and commercial households whose taxable income does not exceed 1 million yuan, personal income tax will be halved on the basis of existing preferential policies.

  The implementation of the Regulations on Promoting the Development of Individual Industrial and Commercial Households in November, 2022 has improved the institutional measures for promoting development and protecting rights and interests, and provided all-round support for the development of individual industrial and commercial households in terms of registration, supply of business premises, funds, taxation, finance, social security, entrepreneurship and employment, community convenience and intellectual property protection. In the first month of the implementation of the regulations, there were 2,040,300 newly registered individual industrial and commercial households nationwide, an increase of 14.9% from the previous month, which effectively stimulated the entrepreneurial innovation vitality of individual industrial and commercial households.

  It is understood that in the tax and fee support policy in 2022, the most beneficial subjects are small and micro enterprises and individual industrial and commercial households, and the new tax reduction and fee reduction and tax refund deferred fees exceed 1.7 trillion yuan, accounting for about 40% of the total scale; In addition, nearly 80% of individual industrial and commercial households will not have to pay taxes in 2022. Judging from the situation of various industries, the newly added tax reduction and fee reduction and tax refund and tax deferral in manufacturing industry is nearly 1.5 trillion yuan, accounting for about 35%, which is the most obvious industry.

  Recently, the policy intensity has been continuously increased. The Office of the Leading Group for Promoting the Development of Small and Medium-sized Enterprises in the State Council issued "Several Measures to Help Small and Medium-sized Enterprises to Stabilize Growth and Adjust Their Structural Strength" (hereinafter referred to as "Measures"). In order to further promote stable growth and expectations, and strive to promote the structural strength of small and medium-sized enterprises, 15 specific measures were put forward to inject vitality into their development.

  The "Measures" clearly stated that the phased tax reduction and exemption policy due at the end of 2022 will be optimized and adjusted in light of actual conditions. In this regard, Sun Wenkai, deputy dean of the SME Research Institute of China Renmin University, said that this is actually a tax reduction and exemption policy for small and micro enterprises and individual industrial and commercial households; Secondly, it also provides tax relief policies and social security deferred payment policies for specific industries.

  Spring river plumbing duck prophet. The healthy growth of small and micro market entities such as individual industrial and commercial households is the resilience to promote high-quality development, and it is also a vivid annotation of China’s economic vitality.