With the approval of the CSRC, a securities company may establish a wholly-owned subsidiary or, alternatively, invest in and establish a subsidiary together with another qualified investor.
The Implementing Regulations clarify enterprise income tax matters in respect of revenue, deductions, tax treatment of assets, tax payable, preferential tax treatment, withholding at source, special tax adjustments, and administration of levy and collection.
After the promulgation of the Provisions for the Granting of State-owned Construction Leaseholds by way of an Invitation of Bids, Auction or Listing on a Land Exchange in April 2002, the current Provisions seek to impose regulations on the increasingly popular construction leasehold granting through bidding, auction or listing.
The amendment has boosted right and protection of criminal lawyers, and allows lawyers who have been practising for five years to establish individual law firms.
The Circular provides guidelines to reinsurance contracts and retrocession contracts whose term commences on or after January 1 2008 as to risk management mechanism, financial strength ratings, paid-in monetary capital, solvency and trading history requirements for the selection of a reinsurance cedent.