Fund supervision and state coffer management will be strengthened to ensure that tax refunds will go directly to market entities and subsidies will be directly channeled to prefecture- and county-level governments.

The year-on-year slide in the value-added tax revenue, the biggest contributor to the country's national coffer, narrowed by 19.1 percent for the January-June period, versus 23.6 percent for the first three months as production activities in the industrial sector continued to recover, Liu said.