Tax

• State Administration of Taxation, Announcement on Enterprise Income Tax Issues Relevant to the Implementation of the «Catalogue of Encouraged Industries in Western China»

  国家税务总局关于执行《西部地区鼓励类产业目录》有关企业所得税问题的公告

  Enterprises enjoy tax breaks for investment in Western China.

  April 29, 2015

• Announcement on Enterprise Income Tax Issues Relevant to the Payment of Expenses by Enterprises to Overseas Affiliates

  关于企业向境外关联方支付费用有关企业所得税问题的公告

  The tax authority may proceed with an adjustment for any expenses paid to an overseas affiliate not in compliance with the arm's length principle.

  April 02, 2015

• China's SAT issues regulations on outbound service payments as part of crackdown on tax evasion

  China's State Administration of Taxation (SAT) recently issued a notice regarding payments involving related offshore parties. China has openly declared its plans to crackdown on tax evasion, so the issuing of new regulations come as no surprise

  March 30, 2015

• Beijing Tax Bureau to levy 10% tax on QFII investors, with no deductions for losses

  Inward investors have expressed concern about proposals that China will levy a 10% capital gains tax on profits earned by foreign investors, with no opportunity to deduct for losses. While some tax advisers welcomed the clarity, some funds may struggle to pay the higher-than-expected tax bills on gains earned over five years between 2009 and 2014

  March 18, 2015

• Foreign companies could be caught in China's new indirect transfer rules

  In a strong indication of its growing commitment to enforcing tax compliance, China's State Administration of Taxation released updated indirect transfer rules to replace Notice 698. professionals say the more stringent tax rules, which include safe harbour regulations, withholding tax obligations of the buyer, and clarifications of reasonable commercial purpose, are both welcome and concerning

  February 12, 2015

• Time for QFIIs and RQFIIs to pay their taxes

  After ten years, a regulatory framework has now been put in place for QFII and RQFII income tax. Investors must pay taxes for gains made before November 17 last year and should consult with authorities to verify calculation methods

  January 13, 2015

• Ministry of Finance, State Administration of Taxation and China Securities Regulatory Commission, Circular on the Issue of Provisionally Exempting the Proceeds Derived in China by QFIIs and RQFIIs from the Transfer of Stocks and Other Such Equity Investment Assets from Enterprise Income Tax

  财政部、国家税务总局、中国证券监督管理委员会关于QFII和RQFII取得中国境内的股票等权益性投资资产转让所得暂免征收企业所得税问题的通知

  QFIIs exempted from income tax related to Shanghai-Hong Kong Stock Connect.

  December 18, 2014

• Ministry of Finance, State Administration of Taxation and China Securities Regulatory Commission, Circular on Tax Policies Relevant to the Pilot Project for the Mechanisms to Provide Mutual Trading Access Between the Shanghai and Hong Kong Stock Markets

  财政部、国家税务总局、中国证券监督管理委员会关于沪港股票市场交易互联互通机制试点有关税收政策的通知

  Investors in Shanghai-Hong Kong Stock Connect exempted from income tax and business tax provisionally.

  December 18, 2014

• Rolling out tax reforms

  Cheng (Ron) Ma of Jingtian & Gongcheng highlights the developments in VAT and double taxation treaties,explains withholding tax and predicts the next phase of reforms

  November 11, 2014

• Navigating the dangers of mergers – Guangdong Focus

  The merger process in China can be long and painful. This is primarily due to the lack of detailed implementing rules and un-reconciled discrepancies among governmental authorities

  September 10, 2014