Yue Yi Bao Han [2020] No. 62
To all healthcare security bureaus and taxation bureaus in municipalities of prefecture level or above, and the taxation bureau of the Zhuhai Hengqin New Area:
To further consolidate provincial efforts to temporarily reduce employee basic medical insurance premiums by half, relevant matters are hereby notified as follows:
1. Types of Insurance with Premiums Reduced by Half
The types of employee basic medical insurance with premiums temporarily reduced by half only cover employee basic medical insurance. Maternity insurance and the various supplementary medical insurance schemes are not included.
2. Policy Scope
Those subject to the temporary reduction of employee basic medical insurance premiums include enterprises which have already registered for insurance contributions, individual industrial and commercial proprietors participating in the social medical insurance system as corporate entities, and social organizations and private non-enterprise organizations, which shall be entitled to the reduction of employer contributions to employee basic medical insurance premiums by half as per regulations. The “reduction by half” policy will not apply to contributions made by individuals. This policy also does not apply to state organs, public institutions, and persons participating in the social medical insurance system in their individual capacity.
3. Contribution Rates During the Reduction Period
Regions implementing the “reduction by half” policy shall determine the base payment ratio for reduction in strict accordance with the stipulations of theOpinions on Implementing Temporary Reductions to Social Insurance Contributions by Enterprisesissued by the Guangdong Provincial Human Resources and Social Security Department, Guangdong Provincial Healthcare Security Administration, Guangdong Provincial Finance Department, and Guangdong Provincial Tax Service, State Taxation Administration (Yue Ren She Fa [2020] No. 58). For employers eligible for the “reduction by half” policy in regions that have already implemented temporary reductions in premiums, employer contributions to employee basic medical insurance shall be 50% of the rates before such temporary reduction. For state organs, public institutions, and persons participating in the social medical insurance system in their individual capacity that are not eligible for the “reduction by half” policy, employer contribution rates shall remain at the rates after the temporary reduction.
4. Stipulations on Deferment of Contributions by Individuals
Individual contributions by employees shall be concurrently deferred for the period that employer contributions to employee basic medical insurance premiums are deferred. During the deferment period, disbursement of funds to personal medical savings accounts shall be suspended. Such funds shall be remitted retroactively after premiums are subsequently made up in full. Competent authorities for healthcare security shall duly record individual benefits and ensure individual benefits for individuals who have been granted payment extensions are not affected.
All local authorities should have an in-depth understanding of relevant guiding principles and the stipulations of relevant directives on temporarily reducing employee basic medical insurance premiums. Relevant issues shall be timely reported to local Party Committees and People’s Governments. Under the guidance of local Party Committees and People’s Governments, local authorities shall coordinate plans and timely deliberate, formulate and properly implement local policies for temporary reductions. Local implementation measures shall be reported to the Guangdong Provincial Healthcare Security Administration and the Guangdong Provincial Tax Service, State Taxation Administration by March 9. Issues encountered during the course of implementation should be timely reported.
Guangdong Provincial Healthcare Security Administration
Guangdong Provincial Tax Service, State Taxation Administration
March 3, 2020