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China's Contraceptive Tax: Boosting Birth Rates or Revenue?

China's Contraceptive Tax: Boosting Birth Rates or Revenue?

Update: 2026-01-01
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Starting January 1st, China imposes a 13% sales tax on contraceptives, exempting childcare services, marriage-related costs, and elderly care from VAT. This move aims to boost birth rates amid a shrinking population and aging society. The tax overhaul scraps many exemptions from 1994, when the one-child policy was in effect. Parental leave is extended, and cash handouts are offered to encourage marriage and childbirth. Births dropped to 9.54 million last year, half of the number from a decade ago. Young people cite high child-rearing costs as the main issue, not the tax increase. Retailers urge people to buy contraceptives now, but experts are divided on the taxs impact. The move could symbolize a push for higher fertility rates or simply generate more tax revenue. Deeper issues, such as job stress and societal pressures, may still hinder marriage and childbirth. Checkout Solipillow.com

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China's Contraceptive Tax: Boosting Birth Rates or Revenue?

China's Contraceptive Tax: Boosting Birth Rates or Revenue?