"From manual bookkeeping to full-process digital supervision, from the difficulty of obtaining evidence for transactions to the traceability of 'four flows in one,' the 'Cloud Recycling' platform has enabled us to move more steadily on the road to compliant operation." Recently, Zhang Guojiao, head of Xiaogan Jincheng Copper Industry Co., Ltd., looked at the real-time updated production data on the platform and was full of confidence in the company's transformation and development. Now, empowered by the "Cloud Recycling" management and service platform built under the leadership of the Xiaonan District Taxation Bureau, local recycling companies are bidding farewell to the extensive operation model and ushering in a new situation of standardized development and green upgrading.

Intelligent supervision strengthens the foundation of corporate compliance

“In the past, the biggest fear in the recycling industry was ‘not being able to explain things clearly.’ Raw material procurement relied on manual records, resulting in a high data error rate. The production process lacked precise monitoring, and sales and logistics information were disconnected,” said Yang Shaoqiang, head of Xiaogan Keweida Waste Recycling Co., Ltd., highlighting the common predicament in the industry.

According to Yang Shaoqiang, a strict supplier qualification review mechanism has been established through the platform during the procurement process. All partners are required to upload their ID cards, purchase and sales contracts, contact information, and other materials, which are automatically verified by the platform before transactions can proceed. Contract terms, vehicle trajectories, weighbridge data, and payment vouchers for each purchase are entered into the system in real time, forming a complete data chain covering the entire process of "procurement-warehousing-production-sales".

Behind this is the tax authorities' efforts in utilizing an industry-specific "database" built under the leadership of government departments—integrating 12 types of core data such as contracts, logistics, and funds, developing standardized collection templates, and promoting key enterprises to establish electronic ledgers, thus solving the pain point of "difficulty in obtaining transaction evidence" in the renewable resources industry from the source.

"The platform integrates information resources from all parties, breaks down information barriers, and enables enterprises to more easily obtain market dynamics and optimize resource allocation. By monitoring and optimizing logistics trajectories, it effectively reduces logistics costs," said Yang Shaoqiang. He added that since the introduction of the cloud regeneration platform, intelligent and digital management has reduced management costs by 30%.

Service upgrades unleash the vitality of enterprise development

"Signing contracts online, paying for goods online, and issuing invoices online—businesses that used to take several days can now be completed in half an hour." Zhang Guojiao, marketing manager of Jincheng Copper Industry, calculated that from the sales perspective, the "Cloud Recycling" platform has enabled the company to achieve a closed-loop online operation for the entire process of acquisition information entry, fund payment, and invoice issuance. In the first half of this year, the company's invoicing efficiency improved by 60%.

The platform not only improves efficiency, but also gives companies greater confidence in market competition. Zhang Guojiao recalled, "Last month, when we signed a 500-ton order with a cable company from another region, they verified data such as raw material traceability and production energy consumption through the platform and finalized the cooperation on the spot. In the past, this would have required at least three rounds of on-site inspections."

Regarding the realization of policy benefits, the tax authorities have formed a professional guidance team to provide on-site explanations of policies such as immediate tax refund and reverse invoicing, ensuring that enterprises fully enjoy the benefits they are entitled to. In the first half of the year, four resource comprehensive utilization enterprises in Xiaonan District applied for immediate tax refunds totaling 146 million yuan based on their good credit; among them, Jincheng Copper Industry enjoyed immediate tax refunds of 35.63 million yuan through the platform in the first half of the year.

Furthermore, tax authorities use platform data analysis to dynamically monitor the authenticity of business transactions, thus protecting the legitimate rights and interests of enterprises and strengthening the tax collection and management defense line. Since the beginning of this year, relying on the platform's risk warning system, the industry risk incidence rate has decreased by 42% year-on-year, building a "safety net" for enterprises' compliant operations.

Collaborative governance drives corporate green transformation

"The temperature of furnace No. 1 has stabilized at 1280℃, and energy consumption has decreased by 2.3% compared to last week." Inside the smelting workshop of Jincheng Copper Industry, temperature and energy consumption data collected in real time by sensors are being updated synchronously through a cloud-based recycling platform. Zhang Yonghua, production director of Jincheng Copper Industry, pointed to the electronic screen and explained that the system automatically compares production data with environmental standards, alerting to the risk of low raw material utilization. The company's technical team optimized the sorting process, reducing the scrap rate to 1.2%, nearly half of what it was before the system went online, and expects to reduce solid waste emissions by approximately 200 tons annually.

Behind these companies' green development achievements lies the effective role of a collaborative governance system built by the tax authorities in conjunction with multiple departments. The Xiaonan District Tax Bureau, in collaboration with the Economic and Information Technology Bureau, the Ecological Environment Bureau, and other departments, established this system, clarifying industry access standards and promoting information sharing on environmental penalties and discharge permits. Previously, through collaboration with the Industry and Information Technology Bureau, they successfully assisted one company in being included in the "White List of Resource Comprehensive Utilization Enterprises," granting it the qualification for immediate tax refund. With policy incentives and platform empowerment, companies have increased their environmental protection investment. Xiaogan Keweida Waste Recycling Co., Ltd., for example, used tax reduction funds to introduce advanced equipment, reducing energy consumption by 15% and pollutant emissions by 20%.

Currently, 32 recycling companies are operating through the cloud-based recycling platform, covering multiple sub-sectors such as scrap metal, waste paper, and waste plastics, forming a complete and efficient recycling industry chain. These companies achieve resource sharing and complementary advantages through the platform, and the industrial agglomeration effect is becoming increasingly prominent.

"From traditional recycling and processing to digital transformation, the platform provides a more solid foundation for 'turning waste into gold'," said Zhang Guojiao, echoing the sentiments of businesses. In the future, the Xiaonan District Tax Bureau will continue to deepen the platform's functions, providing more precise policy support, more efficient service guarantees, and more stringent risk control to accelerate the standardized development of the renewable resources industry and inject continuous "digital intelligence" into the development of a green circular economy.

On the morning of September 2, 2025, the launch ceremony of the "Cloud Regeneration" project for the healthy development of the renewable resources industry in Songzi City was successfully held at Hubei Rongcheng Renewable Technology Co., Ltd. Representatives of Hubei Rongcheng Renewable Technology Co., Ltd. and Hubei Liangxin Big Data Co., Ltd. successfully signed an agreement, marking the official launch of the "Cloud Regeneration" project for the healthy development of the renewable resources industry in Songzi City.

It is understood that the "Cloud Recycling" project is a key pilot project for the digital upgrade and intelligent transformation of tax administration in Hubei Province. This project is of great significance for promoting standardization in the renewable resources industry, reducing enforcement risks, and optimizing the business environment. The project aims to effectively prevent tax-related risks for enterprises by empowering the entire supply chain with digital technology, significantly improve the efficiency of tax-related matters, actively guide enterprises to operate in compliance with regulations, and strongly promote the healthy development of the renewable resources industry.

"Digitalization and intelligentization are one of the biggest advantages of this project. It not only enables the digital presentation of production, operation, cargo transportation, and financial transactions, but also allows for intelligent assessment of tax-related risks, real-time early warning, and effective prevention of business risks," said Mr. Wang, the plant manager of Hubei Rongcheng Recycling Technology Co., Ltd. "The 'cloud recycling' project has achieved intelligent and information-based management in all aspects of the company's procurement, production, sales, and transportation. Goods can be intelligently identified, and online monitoring and capture ensure the transparency and security of the process. Purchase and sales data are recorded in real time, and the collection of goods is traceable and controllable. It is also shared with the financial information system, which has effectively improved the level of intelligent management."

Next, the Municipal Tax Bureau will comprehensively summarize the effectiveness of the pilot program, form a governance system and sharing mechanism that is visible, usable, learnable, and replicable, accelerate its promotion and application, and help the industry develop healthily.

To support the development of the "new economy" and the circular economy, the Wuxue Municipal Taxation Bureau launched the "Cloud Recycling" pilot project, which has established a long-term governance mechanism for the upstream and downstream industrial chains of recycled resources. It has achieved remarkable results in regulating market order, protecting the environment, plugging tax loopholes, and ensuring people's livelihood and safety, thus helping to promote the efficient use of local resources and sustainable development.

Hubei Zhibao Technology Co., Ltd.'s digital management is quite representative. The monitoring center's large screen covers 45 areas of the factory in real time and can review 12 months of monitoring data; the workshop is equipped with fire alarm and sprinkler systems. The weighbridge station achieves fully intelligent operation, with automatic vehicle identification, self-service personnel verification, and automatic data collection. After the quality inspection report is uploaded, the system collects and generates reports in real time, greatly reducing manual intervention.

In response to the needs of enterprises, the tax authorities have innovated an "N+X" digital application scenario. "N" covers the purchase, sale, inventory, and production of scrap steel and end-of-life vehicles, with digital management of vouchers throughout the entire process; "X" focuses on personalized needs such as disaster prevention and early warning, business retrospective, and environmental monitoring, providing a model for industry transformation.

After the project went online, it significantly reduced the burden on the industry: one-time real-name authentication for the sale of waste by natural persons can be reused ; weighbridge slips are automatically collected to reduce duplicate records at weighbridges; quality inspection images are retained to reduce the risk of violations; purchase and sales vouchers and reports are generated online to reduce the financial burden; and enterprise managers can remotely check business and monitor the operating status in real time via a mobile APP.

Under the overall coordination of the municipal government, the tax authorities took the lead in promoting the initiative, with the commerce, public security, and environmental protection departments working together. By uploading information to the cloud, the commerce department optimized the planning and recycling standards for new infrastructure and new urbanization, the public security department strengthened security and supervision of scrapped vehicles, the environmental protection department focused on precise pollution control, and the tax authorities efficiently verified business and preferential policies, thus achieving precise supervision.

Next, Wuxue will deepen inter-departmental collaboration, intensify efforts to promote "reverse invoicing," replicate and promote the "cloud regeneration" pilot program, and contribute to the construction of a unified national market.

To unleash new momentum for the development of a green circular economy, the Zhijiang Municipal Tax Bureau actively promoted the construction of the "Cloud Regeneration" project, a pilot zone for optimizing the business environment in the province. It created a new mechanism integrating "organizational collaboration, data governance, and service empowerment," promoting the industry's transformation from "extensive management" to "precise governance," effectively improving the industry's compliance level, and providing a digital and intelligent model for optimizing the business environment of green industries.

Shoutou Environmental Protection Technology (Zhijiang) Co., Ltd., established in November 2023, has become one of the largest recycling companies in Zhijiang by leveraging its innovative joint operation base model. Through in-depth cooperation with recycling processing bases within a 500km radius, the company collects and integrates scattered scrap steel, transporting it to steel mills to achieve the recycling of waste metals. During preliminary research, the company's负责人 (person in charge) reported: "Currently, our company faces three major challenges: First, upstream suppliers are mostly individuals, resulting in fragmented transactions and difficulties in obtaining invoices. Second, the massive amounts of data generated from cross-regional business lack effective integration and supervision. Third, traditional management methods are ill-suited to the company's rapid expansion."

In response to the challenges facing enterprise development, the "Cloud Regeneration" project was launched. This project utilizes big data, the Internet of Things, and other information technologies to create a "digital identity card" for enterprises, aggregating data from the "four flows" (business flow, logistics flow, capital flow, and invoice flow) to build a digital and intelligent regulatory platform. Regulatory authorities effectively enhance their business identification and invoice management capabilities through identity verification and tracking of the "four flows," and effectively integrate and analyze massive amounts of data through data comparison. This seamless "regulation" and attentive "service" help enterprises reduce financial costs and business risks, enabling them to operate with a lighter burden and in compliance with regulations.

To promote the application of the "Cloud Recycling" project, the Zhijiang Municipal Tax Bureau, in conjunction with the Zhijiang Municipal Bureau of Economy, Information Technology and Commerce, launched a special publicity campaign on "Compliant Operation and Lawful Tax Payment" for recycling enterprises throughout the city. Focusing on the core needs of recycling enterprises and highlighting the two key aspects of "tax payment" and "compliance," the campaign provided enterprises with a "green guide" through policy interpretation, case analysis, and on-site Q&A sessions, enhancing their adaptability to "Cloud Recycling."

In addition to scrap steel recycling companies, the "Cloud Recycling" project also covers the scrap vehicle dismantling industry . Yichang Huayuan Scrap Vehicle Dismantling Co., Ltd. is one of them. With the guidance of the tax authorities, the company promptly corrected invoice issuance issues through data analysis, resolved potential problems, and effectively mitigated tax-related risks.

Since the launch of the "Cloud Regeneration" project, the tax authorities have investigated more than 2,800 pieces of identity information, identified 58 suspicious cases, assisted enterprises in supplementing their declarations for 760,000 yuan, and helped them pay 7,000 yuan in back taxes and fees . This has not only protected the legitimate rights and interests of enterprises but also plugged loopholes in tax collection and management, achieving a win-win situation for both "supervision" and "service".

The standardized management of the renewable resources industry is of great significance for promoting resource recycling, driving sustainable development, and protecting the ecological environment. The Zhijiang Municipal Tax Bureau will continuously strengthen its management and service level in the renewable resources industry, using a dual-engine approach of digital and intelligent supervision and humanized services to support the high-quality development of the renewable resources industry.