One of the challenges for foreign companies to operate in China, is the restriction on foreign exchange, with limitations on why, how and how much foreign currency can be exchanged into Chinese Yuan and vice versa. While this makes China different from many other...
In order to support the country’s main job creators, China’s State Council chaired by Premier Li Keqiang on 9 January 2019 announced that the Chinese government will support the development of micro and small enterprises (MSEs) by introducing major tax cuts. The...
In October 2018, China’s Ministry of Finance proposed the draft changes to the Implementing Regulations of the IIT Law, to become effective by January 2019. In many ways these regulations are more important than the IIT Law itself (see our original article on the IIT...
With the Regulations on the Reform of National Tax and Local Tax (the “Reform”) adopted on 20 July 2018 (to become effective on 1 January 2019), the responsibility to collect social insurance premiums (i.e. for basic pension insurance, basic medical insurance,...
In June 2018, the Standing Committee of the National People’s Congress proposed major amendments to the PRC Individual Income Tax Law (IIT Law). These changes are expected to take effect in October 2018, with full implementation of the revised law planned for January...
As the China business tax transition to value-added tax reforms are fully implemented beginning 1 May 2016, Premier Li Keqiang made the rounds in Beijing last week to drum up support among regional officials. Business tax has been a steady source of revenue for local...
