The coastal commercial hub of Wenzhou has become the first city in affluent Zhejiang province to employ the digital renminbi for tax payments purposes.
Since early April Wenzhou residents have been able to use the Industrial and Commercial Bank of China (ICBC) app to pay their personal income taxes in the digital renminbi, according to a report from Mypaypass.com.cn.
The Wenzhou branch of Bank of Communications (BOCOM) has also signed an agreement to allow staff from local tech company Ai’le Zhineng Jiaju Keji (爱勒智能家居科技有限公司) to pay for taxes and social security fees in the digital renminbi.
Wenzhou is reportedly the first city in Zhejiang province to permit the use of the digital renminbi to make tax payments.
The move comes after the People’s Bank of China (PBOC) announced the expansion of nation-wide digital renminbi trials to 11 more cities on 2 April, including six cities in Zhejiang province that are helping to host the 2022 Asian Games.