Legislation Digest

People’s Bank of China, Measures for the Administration of Payment Services of Non-financial Institutions [Legislation Digest]
中国人民银行非金融机构支付服务管理办法
PBOC puts online payment services under scrutiny.

Supreme People’s Court, Circular on Several Issues Concerning the Application of the «PRC Tort Liability Law» [Legislation Digest]
最高人民法院关于适用《中华人民共和国侵权责任法》若干问题的通知
Applicability of the Tort Liability Law clarified.

Ministry of Commerce, Circular on Issues Relevant to Delegation of the Examination and Approval Authority over Foreign Investments to Lower Levels [Legislation Digest]
商务部关于下放外商投资审批权限有关问题的通知
Mofcom delegates approval power over foreign-invested holding companies and venture capital companies to lower-level authorities.

China Insurance Regulatory Commission, Measures for the Administration of the Equity of Insurance Companies [Legislation Digest]
中国保险监督管理委员会保险公司股权管理办法
Shareholding restriction on single shareholders of insurance companies relaxed.

China Insurance Regulatory Commission, Tentative Measures for the Graded Regulation of Establishments of Insurance Companies [Legislation Digest]
中国保险监督管理委员会保险公司分支机构分类监管暂行办法
Establishments of insurance companies classified into four grades for regulation.

China Insurance Regulatory Commission, Measures for the Administration of the Information Disclosure of Insurance Companies [Legislation Digest]
中国保险监督管理委员会保险公司信息披露管理办法
Insurance companies required to disclose seven types of information.

China Insurance Regulatory Commission, Provisions on the Administrative Penalty Procedure [Legislation Digest]
中国保险监督管理委员会行政处罚程序规定
Market access prohibition is now an administrative penalty for the insurance industry.

Ministry of Housing and Urban-rural Development, People’s Bank of China and China Banking Regulatory Commission, Circular on Specifying the Criteria for Defining the Second Unit of Residential Premises for Commercial Personal Residential Mortgage Loan Purposes [Legislation Digest]
住房和城乡建设部 、中国人民银行 、中国银行业监督管理委员会关于规范商业性个人住房贷款中第二套住房认定标准的通知
Stringent definition of the second unit of residential premises.

State Administration for Industry and Commerce, Tentative Measures for the Administration of Online Commodity Transactions and Related Services [Legislation Digest]
国家工商行政管理总局网络商品交易及有关服务行为管理暂行办法
Online shop owners required to provide real names.

General Administration of Quality Supervision, Inspection and Quarantine, Provisions for the Regulation of Food Additive Production [Legislation Digest]
国家质量监督检验检疫总局食品添加剂生产监督管理规定
Details of food additives made more transparent.

Other Recent Legislation for This Month [Legislation Digest]

State Administration for Industry and Commerce, Circular on Improving the Enforcement of the Provisions on Employment Restrictions on Legal Representatives of Enterprises with Legal Personality [Legislation Digest]
国家工商行政管理总局关于进一步做好企业法人法定代表人任职限制规定执行工作的通知
SAIC seeks to establish credibility files of legal representatives.

PRC Tort Liability Law [Legislation Digest]
中华人民共和国侵权责任法
China’s first tort liability law.

State Council, Approval and Transmission of the «National Development and Reform Commission, Circular on the Opinion on the Major Work on Deepening the Reform of the Economic System in Year 2010» [Legislation Digest]
国务院批转发展改革委关于2010年深化经济体制改革重点工作意见的通知
China seeks to levy property taxes.

State Council, Several Opinions on Encouraging and Guiding the Healthy Development of Investments from the Private Sector [Legislation Digest]
国务院关于鼓励和引导民间投资健康发展的若干意见
Private sector investments allowed in commercial bank equity investment.

State Administration for Industry and Commerce, Several Opinions on Fully Making Use of the Industry and Commerce Administrative Functions in Order to Better Serve the Development of Foreign-invested Enterprises [Legislation Digest]
国家工商行政管理总局关于充分发挥工商行政管理职能作用进一步做好服务外商投资企业发展工作的若干意见
SAIC issues policies to encourage more foreign investment.

National Development and Reform Commission, Circular on Properly Handling the Delegation of Approval Authority over Foreign-invested Projects to Lower-level Authorities [Legislation Digest]
国家发展改革委关于做好外商投资项目下放核准权限工作的通知
NDRC delegates approval power to lower authorities.

Supreme People’s Court, Opinions on Several Issues Concerning the Trial of Administrative Cases Involving the Granting and Confirmation of Trademark Rights [Legislation Digest]
最高人民法院关于审理商标授权确权行政案件若干问题的意见
SPC sets standards for trying trademark cases.

State Administration of Taxation, Measures for Administration of the Levy of Income Tax on Non-tax-resident Enterprises by Assessment [Legislation Digest]
国家税务总局非居民企业所得税核定征收管理办法
Sat sets forth clear guidelines for separating PRC and non-PRC revenues of non-tax-residents.

Beijing Municipality, Circular on the Thorough Implementation of the State Council’s Document on Determined Suppression of the Exceedingly Rapid Rise of Certain Urban Housing Prices [Legislation Digest]
北京市贯彻落实国务院关于坚决遏制部分城市房价过快上涨文件的通知
Bejing issues a more stringent circular on suppression of property prices.

Beijing Municipality, Circular on Implementing the Policy Relevant to Restricting One Housing Purchasing Family to Only One New Purchase of a Unit of Commodity Residential Premises in the Municipality [Legislation Digest]
北京市关于落实同一购房家庭只能在本市新购买一套商品住房有关政策的通知
Beijing requires the verification of household and marriage certificates when purchasing property.

Shenzhen City, Opinion on the Thorough Implementation of the Spirit of the State Council’s Document to Determinedly Suppress the Exceedingly Rapid Rise of Housing Prices [Legislation Digest]
Foreign parties may purchase only one unit of premises as before.

Other Recent Legislation for This Month [Legislation Digest]

State Administration of Foreign Exchange, Provisions on the Pilot Reform of the System of Verification of Foreign Exchange Payments for Imports [Legislation Digest]
国家外汇管理局进口付汇核销制度改革试点规定
Forex verification procedure simplified for importers.

State Council, Several Opinions on Further Improving the Work on the Use of Foreign Investment [Legislation Digest]
国务院关于进一步做好利用外资工作的若干意见
State Council delegates approval of foreign investment to lower level authorities.

China Insurance Regulatory Commission, Measures for the Administration of Insurance Group Companies (Trial Implementation) [Legislation Digest]
中国保险监督管理委员会保险集团公司管理办法 (试行)
CIRC sets forth the measures for the establishment of insurance group companies.

Supreme People’s Court, Annual Report on Intellectual Property Cases (2009) (Abstract) [Legislation Digest]
最高人民法院知识产权案件年度报告 (2009) (摘要)
SPC issues conclusive opinions on typical IP cases.

China Securities Regulatory Commission, Measures on the On-site Inspection of Listed Companies [Legislation Digest]
中国证券监督管理委员会上市公司现场检查办法
CSRC extends the scope of inspection of listed companies.

State Council, Circular on Determined Suppression of the Exceedingly Rapid Rise of Certain Urban Housing Prices [Legislation Digest]
国务院关于坚决遏制部分城市房价过快上涨的通知
State Council’s 10 articles show determined suppression of property prices.

Ministry of Housing and Urban-rural Development, Circular on the Issues Relevant to Further Strengthening the Regulation of the Real Property Market and Improving the System for Pre-sale of Commodity Residential Premises [Legislation Digest]
住房和城乡建设部关于进一步加强房地产市场监管完善商品住房预售制度有关问题的通知
Property developers required to file pre-sale price changes.

Ministry of Human Resources and Social Security, Guiding Opinion on the Pilot Reform of Public Hospitals [Legislation Digest]
人力资源社会保障部关于公立医院改革试点的指导意见
Insurance companies may participate in discussion of medical fees.

Ministry of Commerce, Ministry of Finance, General Administration of Customs and State Administration of Taxation, Circular on Measures for Reviewing the Qualifications of Foreign-invested Research and Development Centres for Tax Exemptions/Refunds on Procured Equipment [Legislation Digest]
商务部、财政部、海关总署、国家税务总局关于外资研发中心采购设备免/退税资格审核办法的通知
Tax exemption for foreign-invested R&D centres clarified.

Ministry of Finance, General Administration of Customs and State Administration of Taxation, Circular on Launching the Pilot Project for Export Tax Rebate for Vessels under Lease Financing in the Tianjin Municipality [Legislation Digest]
财政部、海关总署、国家税务总局关于在天津市开展融资租赁船舶出口退税试点的通知
Tianjin exempts tax on sale of vessels to foreign lessees.

Other Recent Legislation for This Month [Legislation Digest]

China Banking Regulatory Commission, Circular on Issues Relevant to Strengthening the Regulation of the Real Property Trust Business of Trust Companies [Legislation Digest]
中国银行业监督管理委员会关于加强信托公司房地产信托业务监管有关问题的通知
Stricter criteria for real property trust financing.

China Banking Regulatory Commission, Guidelines for Regulation of the Sound Compensation of Commercial Banks [Legislation Digest]
中国银行业监督管理委员商业银行稳健薪酬监管指引
Bonus payment of senior management personnel of banks required to be deferred.

China Banking Regulatory Commission, the National Development and Reform Commission, the Ministry of Industry and Information Technology, the Ministry of Finance, the Ministry of Commerce, the People’s Bank of China and the State Administration for Industry and Commerce, Tentative Measures for the Administration of Financing Security Companies [Legislation Digest]
中国银行业监督管理委员会、国家发展和改革委员会、工业和信息化部、财政部、商务部、中国人民银行、国家工商行政管理总局融资性担保公司管理暂行办法
Financing security companies put under regulation.

China Banking Regulatory Commission, Tentative Measures for the Administration of Personal Loans [Legislation Digest]
中国银行业监督管理委员会个人贷款管理暂行办法
Loans with unspecified purposes not allowed.

China Banking Regulatory Commission, Tentative Measures on the Administration of Working Capital Loans [Legislation Digest]
中国银行业监督管理委员会流动资金贷款管理暂行办法
Lenders to supervise the use of working capital loans.

State Administration for Industry and Commerce, Provisions for the Administration of the Registration of Foreign-invested Partnerships [Legislation Digest]
外商投资合伙企业登记管理规定
Detailed provisions laid out for foreign-invested partnerships.

China Insurance Regulatory Commission, Circular on Matters Relevant to the Investment in Unsecured Enterprise Bonds by Insurance Institutions [Legislation Digest]
中国保险监督管理委员会关于保险机构投资无担保企业债券有关事宜的通知
Investment of insurance proceeds in unsecured bonds restricted.

China Insurance Regulatory Commission, Official Reply on Whether Work Units Are Able to Take out Personal Insurance Products for Their Personnel [Legislation Digest]
中国保险监督管理委员会关于单位能否为员工投保个人保险产品的复函
Work units may not invest in personal insurance for their personnel.

General Office of the State Council, Circular on Promoting the Steady and Healthy Development of the Real Property Market [Legislation Digest]
国务院办公厅关于促进房地产市场平稳健康发展的通知
More welfare housing projects to be supplied.

Ministry of Land and Resources, Circular on Issues Relevant to Strengthening the Supply and Regulation of Land Use for Real Property [Legislation Digest]
国土资源部关于加强房地产用地供应和监管有关问题的通知
MLR issues 19 articles to curb property speculation.

State Administration of Taxation, Tentative Measures for the Tax Administration of Resident Representative Offices of Foreign Enterprises [Legislation Digest]
国家税务总局外国企业常驻代表机构税收管理暂行办法
Authority clamps down on rep offices.

State Administration of Taxation, Circular on Issues Concerning the Implementation of Relevant Articles of Tax Agreements [Legislation Digest]
国家税务总局关于税收协定有关条款执行问题的通知
Royalties include income from technicial service activities relating to transfer of use rights.

State Administration of Taxation, Official Reply on the Issue of the Handling of Preferential Income Tax Treatment of Foreign-invested Enterprises that Have Been Shut Down by the Government [Legislation Digest]
国家税务总局关于政府关停外商投资企业所得税优惠政策处理问题的批复
Liquidated FIEs should pay back preferential income tax.

Ministry of Finance and State Administration of Taxation, Circular on Deed Tax Policy Relevant to First-time Purchase of Ordinary Residential Premises [Legislation Digest]
财政部、国家税务总局关于首次购买普通住房有关契税政策的通知
Preferential deed tax policy does not apply to second-time joint housing purchasers.

Beijing Municipality, Implementing Opinion on Promoting the Steady and Healthy Development of the Real Property Market [Legislation Digest]
北京促进房地产市场平稳健康发展实施意见
Policy-type residential premises are to account for at least 50% of the market in Beijing.

Other Recent Legislation for this Month [Legislation Digest]

Ministry of Finance, Provisions on the Accounting Treatment of Insurance Contracts [Legislation Digest]
财政部保险合同相关会计处理规定
Accounting treatment of hybrid insurance contracts clarified.

China Banking Regulatory Commission, Measures for the Administration of Pilot Projects for the Investment by Commercial Banks in the Equity of Insurance Companies [Legislation Digest]
中国银行业监督管理委员会商业银行投资保险公司股权试点管理办法
CBRC sets out certeria criteria for a commercial bank to take an equity interest in an insurance company.

China Banking Regulatory Commission, Guidelines on Information Disclosure in Connection with the Capital Adequacy Ratio of Commercial Banks [Legislation Digest]
中国银行业监督管理委员会商业银行资本充足率信息披露指引
CBRC requires banks to disclose capital adequacy ratio in line with Basel requirements.

China Banking Regulatory Commission, Guidelines on the Monitoring Inspection of the Capital Adequacy Ratio of Commercial Banks [Legislation Digest]
中国银行业监督管理委员会商业银行资本充足率监督检查指引
Banks’ capital adequacy should be compatible with their risk exposure.

China Banking Regulatory Commission, Guidelines for Measuring the Regulatory Capital in Connection with Risk Exposure in Asset Securitisation of Commercial Banks [Legislation Digest]
中国银行业监督管理委员会商业银行资产证券化风险暴露监管资本计量指引
Banks required to conduct due diligence investigation on the underlying assets of securitisation.

Central Committee of the Communist Party of China and State Council, Several Opinions on Intensifying the Co-ordination of Urban and Rural Development and Further Strengthening the Basis for Agricultural and Rural Development [Legislation Digest]
中共中央国务院关于加大统筹城乡发展力度进一步夯实农业农村发展基础的若干意见
China urbanises rural towns.

Supreme People’s Court, Circular on Issues Relevant to the Enforcement of Hong Kong Arbitral Awards in the Mainland [Legislation Digest]
最高人民法院关于香港仲裁裁决在内地执行的有关问题的通知
More certainty for parties using the ICC.

State Council, Implementing Rules for the PRC Patent Law (2nd Revision) [Legislation Digest]
国务院中华人民共和国专利法实施细则 (第二次修订)
All employers are now allowed to reach invention reward agreements with employees.

Supreme People’s Court, Circular on Revising the Jurisdiction Thresholds for Civil Intellectual Property Cases at First Instance of Local People’s Courts at All Levels [Legislation Digest]
最高人民法院关于调整地方各级人民法院管辖第一审知识产权民事案件标准的通知
Basic-level people’s courts can take more IP cases.

China Securities Regulatory Commission, Guiding Opinion on Pilot Engagement in Margin Trading and Short Sale of Securities by Securities Companies [Legislation Digest]
中国证券监督管理委员会关于开展证券公司融资融券业务试点工作的指导意见
China gives green light to margin trading.

Shanghai Municipality, Several Provisions on Promoting the Development of the Alternative Energy Industry in Shanghai [Legislation Digest]
上海市关于促进上海新能源产业发展的若干规定
Shanghai encourages the development of alternative energy.

Other Recent Legislation of this Month [Legislation Digest]

China Banking Regulatory Commission, Guidelines for the Management of Interest Rate Risk in the Banking Book of Commercial Banks [Legislation Digest]
中国银行业监督管理委员会商业银行银行账户利率风险管理指引
Banks told to better assess potential interest rate risk.

Ministry of Commerce, Measures for the Review for Concentrations of Business Operators [Legislation Digest]
商务部经营者集中审查办法
Restrictive conditions may be imposed on a concentration transaction.

Ministry of Commerce, Measures for the Reporting of Concentrations of Business Operators [Legislation Digest]
商务部经营者集中申报办法
Calculation of the business turnover of a business operator in a concentration clarified.

Ministry of Justice, Measures for the Administration of Names of Law Firms [Legislation Digest]
司法部律师事务所名称管理办法
“Lawyers Group” and “Lawyers Alliance” not allowed in law firm names.

State Council, Measures for the Administration of the Establishment of Partnerships in China by Foreign Enterprises or Individuals [Legislation Digest]
国务院外国企业或者个人在中国境内设立合伙企业管理办法
Government takes significant step toward reform of the foreign-invested partnership rules.

State Administration for Industry and Commerce and Ministry of Public Security, Circular on Further Strengthening Administration of the Registration of Resident Representative Offices of Foreign Enterprises [Legislation Digest]
国家工商行政管理总局、公安部关于进一步加强外国企业常驻代表机构登记管理的通知
Number of foreign representatives is limited to four.

Supreme People’s Court, Interpretation on Several Issues Concerning the Application of the Law in Trials of Patent Infringement Disputes [Legislation Digest]
最高人民法院关于审理侵犯专利权纠纷案件应用法律若干问题的解释
SPC Interpretation explains details of the Patent Law.

Ministry of Finance, Ministry of Land and Resources, People’s Bank of China, Ministry of Supervision and National Audit Office, Circular on Further Strengthening the Management of the Revenue and Expenditure of Land Grant [Legislation Digest]
财政部、国土资源部、中国人民银行、监察部、审计署关于进一步加强土地出让收支管
China raises first instalment of land grant to 50% to prohibit hoarding.

State Administration of Taxation, Circular on Strengthening the Administration of Enterprise Income Tax on Income Derived from the Transfer of Equity of Non-tax-resident Enterprises [Legislation Digest]
国家税务总局关于加强非居民企业股权转让所得企业所得税管理的通知
SAT cracks down on tax evasion by non-tax-resident enterprises.

Ministry of Finance and State Administration of Taxation, Circular on Revising the Business Tax Policy for Assignment of Residential Premises of Individuals [Legislation Digest]
财政部、国家税务总局关于调整个人住房转让营业税政策的通知
Preferential tax policy for second-hand residential property sale removed.

Beijing Municipality, Tentative Measures for the Establishment of Foreign-invested Equity Investment Fund Management Enterprises in Beijing [Legislation Digest]
北京市在京设立外商投资股权投资基金管理企业暂行办法
Beijing allows establishment of PE and VC firms by foreign investors.

Shanghai Municipality, Trial Measures for the Examination, Approval and Registration of Debt-for-equity Swaps of Foreign-invested Enterprises [Legislation Digest]
上海市外商投资企业债权转股权审批登记试行办法
Shanghai allows debt-for-equity swaps by foreign-invested enterprises.

Shanghai Municipality, Seven Measures for Providing Convenience in Entry into and Exit from China for Foreign High-level Skilled Personnel and Investors [Legislation Digest]
上海市外国籍高层次人才和投资者7项出入境便利措施
Foreign skilled personnel in Shanghai allowed for a five-year stay.

Other Recent Legislation of this Month [Legislation Digest]