From 1 January, contraceptives will be subject to a 13% VAT rate – part of a carrot-and-stick approach by the government to increase births
China is set to impose a value-added tax (VAT) on condoms and other contraceptives for the first time in three decades, as the country tries to boost its birthrate and modernise its tax laws.
From 1 January, condoms and contraceptives will be subject to a 13% VAT rate – a tax from which the goods have been exempt since China introduced nationwide VAT in 1993.
The measure was buried in a VAT law passed in 2024 in an effort to modernise China’s tax regime. VAT accounts for nearly 40% of China’s total tax revenue.
That’s… Oh my God. That is such a bad idea, for so many reasons. But I think if the point is to expand your population, specifically the poorest and most uneducated, it hits the mark.
Oh no… That is the point, isn’t it?
The future ruling classes are going to need serfs.
Yeah it’s a great way to dilute the intelligence of a population while skewing voting toward more conservative representation. Half the US has similar values.