China’s new ‘condom tax’ draws skepticism, health risks worries

China will soon start collecting a value-added tax on contraceptive drugs and products for the first time in over three decades, a move aligned with Beijing's effort to get families to have more children after decades of limiting most to one child.

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“Contraceptive drugs and products” will not be tax-exempt as of January 1, according to the country’s newest value-added tax law. Products such as condoms will be subject to the usual 13 per cent value-added tax imposed on most products.