Minerals firm brushes aside tax plan China Rare Earth says it can withstand loss of a VAT rebate.

(From South China Morning Post)

Byline: Eric Ng

China Rare Earth Holdings has brushed aside concerns the rare earth industry could be hit by a proposed cancellation of rebates on the value-added tax (VAT) on exports, saying the impact would be limited as firms should be able to shift the burden to customers.

Financial controller Desmond Law Lap-tak said the government had proposed to cut the rebate for most industries, but for some sectors - such as rare earth, wool, coking coal, lead and tungsten - the rebates could be cancelled.

The central government is estimated to owe about 250 billion yuan (HK$235.62 billion) in VAT rebate payments …