Promulgated: April 20 2005Effective: as of date of promulgationInterpreting authority: People's Bank of China and China Banking Regulatory CommissionMain…
Issued: April 8 2005Main contents: The Circular sets the short-term foreign debt indicators for Chinese-invested banks for the year 2005 at US$24.391 billion…
Promulgated: January 19 2005Effective: May 1 2005Applicability: These Regulations apply to enterprises, private non-enterprise work units and family proprietors,…
With a view towards improving mainland employers' incentive processes for employees, the Ministry of Finance and the State Administration of Taxation have jointly issued a new Circular clarifying tax treatment and liabilities surrounding stock option schemes of listed companies.
The Provisions aims to establish a constraining mechanism to combat the abuse of control of listed companies and to protect the lawful righjts and interests of shareholders.
To encourage technology imports and standardize the procedure for tax reductions and exemptions, this Circular states that a foreign investor who wishes to apply for an income tax reduction or exemption may entrust the technology import transferee to carry out the relevant procedures.
This Circular address issues of income tax on the stock options of employees, nature of the income from stock options, domestic and foreign sources of income, and calculation of tax payable.