Income Tax on Equity Investments and M&A Activities

On June 21 2000, the State Tax Bureau of the PRC issued the Several Income Tax Questions Concerning Enterprise Equity Investments Circular, Guo Shui Fa No. (2000) 118 (the Notice). The Notice sets up some stringent criteria in taxing the income arising out of the equity investments or mergers and acquisitions made by Chinese companies.

Dividends