China’s beneficial ownership rules have become stricter in some places and lenient in others while anti-avoidance provisions have become more explicit. This article reports on what non-tax residents need to know about the new rules.
PRC outbound investment has received another boost via a new tax credit regulation that simplifies procedures and provides greater options to Chinese companies keen on multi-jurisdictional forays. It would be wise for these corporates to review and restructure their tax credit strategies to capitalize on the government’s commitment to expanding outward.
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.