Tax

New social credit draft law raises concerns for foreign companies; CSRC lifts ban on property M&A and refinancing; and U.K. government unwinds a completed transaction for the first time.

Daisy Duan and Sara Shi of King & Wood Mallesons review newly introduced regulations supporting pre-tax deductions for enterprise innovation in science and technology in China including recommended action to take advantage of these new tax preferential policies.

Expenses on overseas-commissioned R&D may be super-deducted

High-tech companies are allowed 100% super tax deduction

Guo Yongmao and Zhang Tianyang of Haiwen & Partners highlight 2022 tax policies that support businesses, which have been impacted by the COVID-19 pandemic situation

Potential economic downturn prompts the State Council to announce multiple significant measures aimed at supporting SMEs and foreign trade enterprises, and unlocking value in existing infrastructure projects.

Industry associations ban NFT use for issuing financial assets; Shanghai government paves way for potential resumption of production activity under closed-loop management; and livestreaming video games banned for certain platforms

CSRC proposes an update to confidentiality rules for overseas listings; Shanghai rolls out 21 economic relief measures for firms amid lockdown; and social credit to be further developed, more integration in capital markets

Businesses to receive VAT refunds; plans to improve China's corporate bond market outlined; brand new requirements to develop technology ethically

Favorable tax policy is offered to REITS