A new tax deferral policy providing a temporary waiver of EIT to overseas investors investing in encouraged industries is aimed at attracting more foreign capital. If considering expanding further into the PRC, overseas companies should comprehensively review and readjust their current investment strategies to ensure they can benefit from the new tax deferral.
Foreign partners may enjoy tax agreement benefits, insurance company-backed foreign loans should comply with outbound investment policy and establishment procedures for insurance companies are streamlined.