Other Briefings
Overseas bourses now allowed representative offices on mainland
Aug. 31 – As the China Securities Regulatory Commission announced earlier this year, foreign stock exchanges are now able set up representative offices to promote their organizations and conduct research on the mainland. The Measures for the Administration of Foreign Stock Exchanges’ Representative Office in China, which came into effect July 1, permits overseas bourses […]
VAT refunds for FICEs stall in Hangzhou
By Andy Scott HANGZHOU, Aug. 24 – Foreign invested commercial enterprises best look elsewhere when considering a place to set up, at least that is the consensus we are getting from Hangzhou, where the authorities are making it very difficult for FICEs to receive their VAT refunds on exported goods. Since June 2004, China has […]
Sarbanes-Oxley: Five years on
By Andy Scott Aug. 2 – Monday was the fifth anniversary of the signing of the Sarbanes Oxley Act, a law that has had a huge impact on business and accounting practices both in the United States, and overseas. One will remember that as a result of the financial scandals in the United States like […]
China cuts individual income tax on bank savings
China’s State Council has announced that individual income tax on bank savings will be cut from 20 percent to 5 percent starting August 15, 2007. Income tax was leveled on personal bank savings on Nov. 1, 1999 as a means of encouraging consumption and investment, adjusting personal income and increasing national revenue. This reduction is an attempt […]
Potential for withholding tax on repatriation of dividends?
By Chris Devonshire-Ellis July 24 – A question has been raised concerning an omission that has occurred within China’s new corporate income tax (CIT) law which could mean withholding taxes being levied on the repatriation of after-tax profits for overseas businesses with foreign invested enterprises in China. Not yet commented on elsewhere, (eagle eyed Dezan Shira & […]
Housing fund contributions change for Beijing, Shanghai and Guangzhou
Provincial tax authorities recently announced an amendment to the regulations that govern tax free contributions to basic pension funds, basic medical insurance, unemployment and housing funds (Cai Shui (2006) Circular 10). Effective July 1, 2007, provincial supervision bureaus have put in place new regulations on housing fund contributions for Beijing, Shanghai and Guangzhou. When it was issued […]
VAT rebate reduction update
As many of Dezan Shira & Associates clients and China Briefing Blog readers will know, the Chinese government has reduced the amount of VAT rebates applicable upon export of some 2,831 different types of products in a circular that takes effect from this Sunday, July 1, 2007. This was anticipated in the May issue of […]
FIEs to get tax rebate for hiring disabled Chinese workers
Foreign companies with disabled Chinese workers on their payroll will qualify for tax rebates from next year according to a recent announcement issued by the State Administration of Taxation. According to the announcement, the maximum tax rebate per disabled worker will be RMB35,000 a year. Further, disabled workers will be exempt from paying income tax […]
