The free trade zone in Shanghai will be officially launched with a series of innovative tax policies, according to a reliable source, the National Business Daily reported on Wednesday.

The source said that the FTZ is currently working on an investment directory, which listed enterprises that will have a lower income tax rate of 15 percent while the rest still need to pay 25 percent tax.

In addition, the deduction on import tax in the FTZ will bring direct benefits to exporters in the city.

All importers have to pay an import tariff, import value-added tax and import consumption tax according to the prices and types of goods.

Enterprises that registered and sell imported products within the FTZ will not have to pay those three import taxes.