Starting January 1, 2026, China will impose a 13% VAT on condoms and other contraceptives, as part of measures to increase birth rates. These products had been exempt from this tax since 1993, when China introduced VAT at the national level.
This measure was included in a VAT law passed in 2024, as part of an effort to modernize China’s tax system. VAT accounts for almost 40% of China’s total tax revenue.
There will also be tax breaks for childcare, dating apps, and other services, while an earlier measure raised the allowed number of children per couple from 2 to 3 in 2021. Until 2015–2016, the one-child policy was in effect, which limited each couple to one child.
China’s population has been declining over the past three years, while the mortality rate is rising, and the 6.77 births per 1,000 people are considered low.
Women, however, fear stricter measures and report receiving phone calls from officials asking about their menstrual cycles and family planning intentions, according to ‘The Guardian’.
Chinese media reported that women in a county of southwestern Yunnan province were required to report the date of their last period to local authorities. The local health office stated that this data collection was necessary to track pregnant women and future mothers. Some local governments offer newlyweds additional paid leave days to encourage citizens to get married.
Source: Guardian
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