State Taxation Administration of China: Encourages banks and tax authorities to use blockchain, privacy computing, and other technologies to innovate the "Bank-Tax Interaction" model

Deep Tide TechFlow message, April 05, Recently, the State Taxation Administration of China and the National Financial Regulatory Administration jointly issued the “Notice on Further Deepening and Standardizing the ‘Bank-Tax Interaction’ Work.” It points out that banks should deepen the application of bank-tax data. Standardize the content and methods of providing bank-tax data, and further address the problem of information asymmetry between banks, taxes, and enterprises. Encourage both banking and tax sides in each region to use technologies such as blockchain, privacy computing, and others to carry out lawful and compliant innovation of “bank-tax interaction” models. Banks should continue to optimize credit services, increase the supply of financing services for enterprises that reliably pay taxes, and at the same time continuously monitor the effectiveness of loan models under “bank-tax interaction” to improve risk management capabilities.