The new opinions from the State Council encouraging private sector investment allow foreigners to participate, especially if they can offer new technologies, but detailed implementation rules are lacking
The Measures state that assessment of taxable income of non-tax-resident enterprises shall be based on total revenue, costs and expenses, or revenue converted from operational expenditures.
The Circular clarifies matters relating to the exemption of import taxes on articles imported by foreign-invested research and development centres for scientific and technological development purposes and the refund in full of the value-added tax on Chinese-made equipment procured by them.