January 31 2020
The State Council recently issued the Circular of Temporarily Adjusting Some Administrative Regulations in Pilot Free Trade Zones, in order to ensure measures of reform and opening-up are implemented well in accordance with the law.
According to the announcement, three administrative rules will be adjusted in the pilot free trade zones. Under the Regulation on the Administration of Commercial Performances, foreign investors and Taiwan investors can establish wholly-owned performance brokerage agencies, joint ventures in art performing business can be established as long as the Chinese partners have controlling stakes. The Provisions on the Administration of Foreign-funded Telecommunications Enterprises have expanded coverage from Shanghai free trade zone (28.8 square kilometers) to all free trade zones in China. Under the Regulations on the Administration of Printing Industry, wholly foreign-owned printing companies can be established in China.
January 31 2020
The Ministry of Finance, the State Taxation Administration and the General Administration of Customs recently issued the Announcement about Export Tax Rebate Policy for Fuel Refilling on International Ships.
According to the announcement, fuel refilled for international ships at China's coastal ports can enjoy export tax rebate, with a rebate rate of 13% on paid value-added tax. The customs agency will issue a sheet of export declaration for the fuel oil, and the taxpayer can present the sheet to tax agency for export tax rebate or exemption. The announcement will be implemented from February 1, 2020.
January 31 2020
The Ministry of Finance and the State Taxation Administration recently issued the Announcement about Individual Income Tax Policies for Overseas Income.
According to the announcement, if residents get income from foreign countries, the income should be combined with domestic income to calculate taxable income; business income from foreign countries should also be combined with domestic business income to calculate taxable income; losses incurred in a country must not be used to offset taxable income in China or other countries or regions, but can be used to offset taxable income for the same country or region in the following years. The announcement applies to tax settlement in 2019 and afterwards.
January 31 2020
The State Taxation Administration recently released the Announcement about Comprehensive Service Platform for Value-added Tax Invoices, to make it easier for taxpayers to issue and use VAT invoices.
According to the announcement, if a taxpayer has lost the invoice form and deduction form of a VAT invoice or vehicle sale invoice, it can use the corresponding duplicate of the invoice issuer for the purpose of input VAT deduction, refund or tax accounting. The STA has upgraded the VAI invoice service platform to offer taxpayers with such services as verifying the use of invoices, risk warning and information download.
February 4 2020
The Implementation Regulation on the Foreign Investment Law of the People's Republic of China was published on December 31, 2019, to be effective from January 1, 2020.
The regulation has stressed the principles of promoting and protecting foreign investment in China, and set articles in four perspectives. The first is to encourage and promote foreign investment; the second is to specify detailed policy measures to encourage foreign investment; the third is to strengthen protection of foreign investment; the fourth is to regulate and manage foreign investment. According to the regulation, government departments must not use administrative means to force foreign investors and foreign-funded companies to transfer technologies and trade secrets.
January 31 2020
Five authorities including the Ministry of Finance, the General Administration of Customs and the State Taxation Administration recently issued a circular to release the Administrative Measures for Tax Policies on Imported Major Technological Equipment, with immediate effect.
According to the regulation, eligible companies and nuclear project owners can enjoy tariff and value-added tax exemptions when they import some key parts, components and materials in order to manufacture major technological equipment or products. In the meantime, the Circular about Adjusting the Import Tax Policies for Major Technological Equipment and the Circular about Adjusting the Catalogue and Provisions on the Import Tax Policies for Major Technological Equipment