Legal

A recent notice provides clarity on what activities of a Permanent Establishment are subject to taxation. This should prompt foreign businesses to re-evaluate their set-up structure

The Law specifies the mediation procedure, and the roles of a people's mediation committee, people's mediator and settlement agreement.

New regulation provides details on review procedure

A recent opinion clarifies issues of jurisdiction, evidence, and definition in criminal cases involving intellectual property. However, the new rules can only be effective if authorities maintain and enhance their enforcement efforts

New circular provides detailed operational rules

Last year, the PRC Supreme People's Court adopted a consistent approach to conflicts involving the establishment and modification of foreign-invested enterprises. However, uncertainties remain on various issues of remedies and dormant shareholders

Buying a state-owned enterprise can be a challenging ordeal for a foreign acquirer. To navigate the auction process successfully, a bidder must understand how it is structured and devise a strategy

The Circular clarifies the scope of technology transfers, which includes the transfer by tax-resident enterprises of proprietary technology, copyrights in computer software, rights in layout-designs of integrated circuits, new varieties of plants and new biopharmaceutical products.

The Circular defines the acquisition of domestic enterprises by foreign enterprises that is subject to security review as well as the subject of such review.