The legislature of China's Macao Special Administrative Region has passed the government's net profit tax bill, local media reported Thursday.

The Macao Post reported that a plenary meeting of the Legislative Assembly gave a nod to the general outline of the bill, which will lower the maximum net profit tax rate from 15 to 12 percent.

The newspaper quoted Francis Tam Pak Yuen, secretary for economy and finance, as saying that the tax cut will bring about "a string of positive effects" to Macao's business community.

It will hopefully help reduce tax payers' burden, create incentives for enterprises and improve Macao's investment environment, according to the official.

He stressed that Macao's small-and-medium-sized enterprises will benefit most from the tax cut.

Source: Xinhua