Tax Policy Guide for Enterprises with Foreign-related Business

Author: Zhang Guoyun, Editor-in-Chief
Publisher:
Publishing Date: 2005-05-01
Features: Since the "Foreign-Invested Enterprises and Foreign Enterprises Income Tax Law of the People's Republic of China" and its implementing rules have been in effect since July 1, 1999, nearly thirteen years of tax practice have accumulated. The promulgation of the foreign-related tax law and its implementing rules has played an extremely important role in advancing China's opening-up, attracting and utilizing foreign capital, and promoting tax administration under the law. With the increased efforts in investment promotion by Dongying City and Shengli Oilfield, domestic enterprises are actively expanding into overseas markets while large multinational corporations from abroad are also vying for China's domestic market. Advanced foreign technology and capital are flowing into China, and cross-border economic transactions are becoming increasingly frequent. However, due to the specific nature of the tax policies for foreign-invested enterprises and foreign enterprises, as well as the long period of their implementation, many supplementary foreign-related tax policies and regulations have been formulated and implemented after the promulgation of the foreign-related tax law. Additionally, many provisions in place before the promulgation of the foreign-related tax law are still in effect. As a result, foreign-related tax policies are quite complex, making it difficult to systematically understand and master them. To facilitate the learning, mastery, and implementation of new tax policies and regulations by relevant enterprises and units in Dongying City and Shengli Oilfield, and to correctly handle tax issues in cross-border economic transactions, as well as to safeguard national tax rights and fulfill tax obligations diligently, and enjoy tax preferential policies, the Dongying Municipal State Taxation Administration and Shengli Oilfield Co., Ltd. organized professionals to compile this "Guide to Foreign-Related Enterprise Income Tax Policies."