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A reform measure requiring State-owned enterprises (SOEs) to pay taxes instead of submitting their profits to the administration.

The State Council introduced this reform in 1983 by levying a 55 percent income tax on medium and large SOEs rather than taking their profits. Other measures soon followed, creating a complete tax scheme to encourage competition.

This was one of the earliest steps taken to reform SOEs and establish a national tax system, showing that a mature market might be an effective way to improve industrial efficiency.

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（英語點(diǎn)津 陳丹妮 編輯）

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