ByTony Dong, Daisy Duan and Jiang Junlu King & Wood Mallesons Corporate Group Over the years, it has been a common practice that multinational companies (“Home Entity”) dispatch expatriate employees (“Secondees”) to the affiliated enterprise in China (“Host Entity”) to hold post as senior management or other technical position. Usually, the Home Entity and the Secondees would retain… Continue Reading
Category Archives: Tax
Subscribe to Tax RSS Feed中国税收：掀开国际人员派遣安排的面纱
Posted in Corporate, Labor, Labor & Employment, Tax作者： 董刚 段桃 姜俊禄 金杜律师事务所公司组 多年以来，跨国企业（“派遣企业”）向境内企业（“接收企业”）派遣人员（“被派遣人员”）担任境内企业高管或其他技术职务的劳务安排非常普遍，通常做法是派遣企业与被派遣人员仍然保持雇佣关系并继续在境外支付工资、薪金及缴纳境外社会保险，然后由境内企业向境外派遣企业支付代垫费用的方式进行偿付。由于境内企业在申请境外支付时需要税务机关出具税务证明，税局通常会判定相关劳务派遣安排是否构成非居民企业在中国的机构、场所或依据税收协定形成常设机构而在中国产生企业所得税的纳税义务，由于过去法规多是原则性的规定，缺乏具体指引，导致税企之间多发争议，阻碍正常的对外支付行为，增加企业的税务合规风险。这一切将在今年6月1日发生重大变化。
外汇局颁布新规，进一步放松直接投资外汇管理
Posted in Corporate, FDI, Finance, Tax作者：熊进 冯彩红 刘青 高纬 金杜律师事务所并购组 国家外汇管理局于2012年11月19日发布了《关于进一步改进和调整直接投资外汇管理政策的通知》（汇发[2012]59号，下称“《通知》”），大幅简化直接投资外汇管理流程。《通知》的出台响应了国务院于2012年9月23日颁布的《国务院关于第六批取消和调整行政审批项目的决定》（国发[2012]52号）中规定的推进行政审批制度改革并进一步取消和调整行政审批项目的要求，也反映了中国巨额外汇储备的背景下进一步放松外汇监管的趋势。《通知》将于2012年12月17日开始实施，有望对外商投资和境内企业境外投资流程产生较大影响。 一、 主要调整概述 与现行直接投资外汇管理政策相比，《通知》在监管流程方面有较大的改进，将部分审批事项调整为登记事项，通过登记来监管外汇资金的流动与汇兑额度。
SAFE Issues New Rules to Further Relax the Foreign Exchange Controls over Direct Investment
Posted in Corporate, FDI, Finance, TaxBy Xiong Jin, Feng Caihong, Liu Qing and Wei Kao King and Wood Mallesons’ Mergers & Acquisitions Group On November 19, 2012, the State Administration of Foreign Exchange (“SAFE”) promulgated the Circular Regarding Further Improvement and Adjustment of Policies on Foreign Exchange Administration of Direct Investment (Hui Fa [2002] No. 59, the “Circular”) which aims to… Continue Reading
Brief Analysis on the Impacts of the VAT Transition Pilot Expansion
Posted in Corporate, TaxBy Zhao Yan and Daisy Duan King & Wood Mallesons’ Tax Group On January 1, 2012, the trial of the value-added tax (“VAT”) Transition from business tax to VAT (“VAT Transition”) for transportation and certain modern service industries was implemented in Shanghai. It is a landmark event in Chinese tax reform. In July 2012, the… Continue Reading
浅析营业税改征增值税试点扩围
Posted in Corporate, Tax作者：赵炎 段桃 金杜律师事务所税务组 2012年1月1日在上海市开始实施的将交通运输业和部分现代服务业由营业税改征增值税（“营改增”）的试点，是中国税制改革的一个标志性事件。2012年7月，国务院进一步决定将试点范围由上海市分批扩大至其他8个省（直辖市），其中，北京市应当于2012年9月1日完成营改增转制，江苏省、安徽省完成转制时间为10月1日，福建省、广东省为11月1日，天津市、浙江省、湖北省为12月1日。此外，营改增明年继续扩大试点地区，并选择部分行业在全国范围试点。 营改增将会导致相关行业纳税人的税负发生变化，甚至可能对其经营乃至定价模式产生重大影响。本文作者将从此次营改增的背景出发，分析营改增方案对相关行业的影响，上海方案与北京等新试点地区方案（“新方案”）的区别，并对纳税人如何应对此次改革提出建议。
New Enterprise Income Tax Rule in relation to Enterprise Relocation
Posted in Corporate, TaxBy Mark Schaub Chen Bing King & Wood Mallesons’ FDI Group Shanghai Office. State Administration of Taxation of the PRC (“SAT”) promulgated the Administrative Rules on Income Tax for Policy-based Relocation of Enterprises on August 10, 2012 (“Rule 40″) which is set to become effective on October 1, 2012. Policy based relocation refers to relocations at… Continue Reading
Tax Considerations for IP Transfer
Posted in Corporate, Intellectual Property, TaxBy Tony Dong and Philip Liu King & Wood Mallesons’ Tax Group Technology innovation is the engine that will drive the 21st century economy. With growing economic demand for core technologies from Chinese enterprises, recent years have witnessed the robust development of Intellectual Properties (“IP”) transactions in China, in which tax issues are often important elements… Continue Reading
知识产权转让的税务考量
Posted in Corporate, Intellectual Property, Tax作者：董刚 刘勃 金杜律师事务所税务组 技术创新是21世纪社会的经济增长发动机。近年来，随着中国企业整体经济实力提升和技术创新意识增强，知识产权交易发展十分迅速，而基于上市、并购重组、外商投资等原因进行的知识产权交易，通常金额较大，税务因素对交易至关重要。本文将探讨知识产权转让交易中的税务影响，尤其是跨境交易中需关注的税务问题，以期相关交易能够实现税务优化及合规的目标。 一、知识产权转让的税务成本 在中国税法框架下，知识产权所有权转让和使用权转让均属于无形资产转让，通常涉及的税种包括所得税（企业所得税或个人所得税）、营业税和印花税。
China’s New Regulations “Crackdown” on Foreign Rep Offices
Posted in TaxMark Schaub , King & Wood’s Corporate Group and Shanghai office On March 1st 2011 New Regulations take effect on Registration of Resident Representative Offices of Foreign Enterprises (“Regulations”). The Regulations clarify the Circular on Further Strengthening the Registration Administration of Foreign Enterprises’ Resident Representative Offices issued by the State Administration for Industry and Commerce (SAIC)… Continue Reading
PRC Tax Authorities Take a Closer Look at Low Share Transaction Prices
Posted in TaxBy: Mark Schaub and Luo Bin, King & Wood’s Corporate Group and Shanghai Office On December 14, 2010, the State Administration of Taxation (“SAT”) promulgated an Announcement on Issues Concerning the Verification of Taxation Basis of Individual Income Tax Payable on Equity Transfer Income (“Announcement”). The Announcement will come into effect on January 14, 2010.
Individual Income Tax Payable on Assignment of Trade-Restricted Shares
Posted in TaxBy: Stephen Nelson and King & Wood’s Tax Group Recently, China clarifies that individuals shall be liable for individual income tax (‘IIT’) on income derived from assignment of trade-restricted shares. According to the Supplementary Notice on Individual Income Tax Issues regarding Transfer of Trade-Restricted Shares (Caishui [2010] No. 70) (“Circular 70”), “trade-restricted shares” refers to… Continue Reading
产业升级与并购中的税务问题
Posted in Tax【访谈对象】金杜律师事务所北京总部税务部合伙人董刚律师。 采写： 张天慧 何然 金杜出版部 【编者语】在市场经济条件下，税收作为国家进行宏观调控的重要工具，是调整经济结构的“有形之手”，对经济结构调整具有重要的引导作用。从整体上看，我国企业重组税收体系已经基本构建完成。新近出台的国务院27号文更强调通过税收促进企业兼并重组，深化体制机制改革，进一步贯彻落实重点产业调整和振兴规划。
The Visible Hand: Taxation and Economic Control
Posted in TaxInterview with Tony Dong By: He Ran and Zhang Tianhui of King & Wood‘s Publications Unlike its invisible counterpart that made 18th century economist Adam Smith famous, the Chinese government’s use of taxation is one of the most ‘visible hands’ controlling the Chinese domestic economy today. In this article, King & Wood partner Tony Dong… Continue Reading
China Weaves a Tax Net over Offshore SPVs
Posted in Foreign Investment, TaxBy Tony Dong and Alice Zhang, King & Wood’s Tax Department It is common for multinational companies to deploy offshore holding structures or set up special purpose vehicles ("SPVs") in tax havens to make investments, enter into cross border transactions or to list their IPOs. There are various reasons for companies to utilize offshore SPVs,… Continue Reading
Offshore Equity Transfers – Next Target for PRC Tax Anti-avoidance Attack
Posted in TaxBy Stephen Nelson, Partner and Head of King & Wood’s Taxation Practice It is not uncommon for foreign investors to sell the shares of intermediate holding companies that hold the equity in Chinese companies as a way to exit their investments in China, in order to get around government approval procedures, as well as to avoid PRC… Continue Reading
中国反避税行动瞄向境外股权转让
Posted in Tax林燊，金杜律师事务所税务主管合伙人 过去实践中，为了绕过中国商务局、税务局等部门的审核监管，境外投资方通常会考虑采用转让设在境外（例如BVI, 香港）的控股公司的股权而达到转让国内企业股权的目的。时过境迁，这种做法现在很有可能会受到中国税务机关的挑战。近日，国家税务总局下发《关于加强非居民企业股权转让所得企业所得税管理的通知》（国税函[2009]698号，简称“698号文”），该文件第一次将间接转让（即前述的转让境外控股公司）以明文规定的形式纳入中国税务审查的范畴。税务机关将审查境外股权结构是否具有合理商业目的，如果没有，那么转让境外股权取得的资本利得仍有可能需要在中国缴税。因此，这将对境外控股公司架构及境外并购重组交易产生重大影响。
新一轮境外控股公司反避税风暴
Posted in Tax林燊，金杜律师事务所税务主管合伙人 中国政府对境外控股公司的反避税管理又向前迈进了一步。国家税务总局日前下发文件，即《关于如何理解和认定税收协定中”受益所有人”的通知》（国税函[2009]601号，简称“601号文”），指导地方税务机关调查认定申请人是否满足“受益所有人”的条件，以决定申请人能否享受税收协定中有关股息、利息、特许权使用费、财产转让收益等优惠待遇。该文件的发布引起广泛关注，跨境交易的税务筹划及利用境外控股公司享受税收协定优惠的安排将受到很大限制。
China Launches Latest Attack on Offshore Holding Companies
Posted in TaxChina’s crack down on tax anti-avoidance took another major step forward with the release of a new Circular by the SAT which may severely restrict the ability of offshore holding companies to take advantage of tax treaty benefits.
China Takes Action on Non-resident Enterprises Withholding
Posted in TaxIn the year following the entry into effect of the PRC Enterprise Income Tax Law, the Chinese tax authorities have issued several rules clarifying emphasizing the position on withholding tax on China-sourced income of non-resident enterprises. Recently, a new regulation was issued that sets out the procedural rules for withholding income tax, the Provisional Administrative… Continue Reading
PRC Confirms Pass-through as “Allocate First, Then Tax”
Posted in TaxThe pass-through tax treatment for partnership enterprises has finally been officially confirmed by the PRC tax authority, via the Circular on the Issues Concerning the Income Tax of the Partners in Partnership Enterprises, Caishui [2008] No. 159, which took effect retroactively as of January 1, 2008. It represents an important first step in the development… Continue Reading
Import Tax and VAT on Equipment in China: Update
Posted in TaxThe PRC government now has issued two notices grandfathering the old VAT benefits until the middle of this year, one for imported equipment and one for domestic equipment.
China’s VAT Reforms
Posted in Corporate, TaxOn November 5, 2008, the PRC State Council passed The Provisional Regulations of the People’s Republic of China on Value-Added Tax, extending VAT reforms to all industries nationwide from January 1, 2009. Stephen Nelson, Partner, Taxation & Alice Zhang, Legal Assistant
Transitional Tax Incentive Policies relating to the Enterprise Income Tax
Posted in TaxThe new PRC Enterprise Income Tax Law (“EIT law”) came into effect on January 1, 2008 and consolidated the enterprise income tax regimes for domestic enterprises and foreign-invested enterprises and ended the system of dual income tax regimes. The new EIT law unified the tax rates and tax incentive policies for both domestic enterprises and… Continue Reading