外商投资企业税收优惠政策

外商投资企业税收优惠政策

TAX PREFERENTIAL POLICY FOR ENTERPRISE WITH FOREIGN INVESTMENT

Any foreign enterprise with foreign investment percentage of contribution equaling to or exceeding 25%, applying tax system and registering with the tax authority in accordance with foreign enterprise with foreign investment, shall be applicable for the tax treatment for foreign enterprise with foreign investment, At present, foreign enterprises with foreign investment in Anhui province shall be subject to ten tax categories, including Value -Added Tax, Consumption Tax, Business Tax, Enterprise With Foreign Investment And Foreign Enterprise Income Tax, Individual Income Tax, Urban Real Estate Tax, Vehicle And Vessel Usage License Plate Tax, Stamp Tax, Resource Tax, Land Appreciation Tax. The primary tax preferential policies for enterprise with foreign investment are elaborated below, subject to the existing tax laws and regulations.

I. Tax Category Preference

Enterprises with foreign investment shall temporarily be exempted from City And Township Land Use Tax, City Maintenance And Construction Tax, Educational Surcharge and Local Educational Surcharge.

II. Tax Preference for Value -Added Tax

a. Importation of materials and equipment directly used in scientific research, experiment and education shall be exempt from VAT.

b. Importation of materials and equipment from foreign governments and international organizations as assistance free of charge as well as equipment and machinery required to be imported under contract processing, contract assembly and compensation trade shall be exempt from VAT.

c. The exportation of the goods produced and exported by various production enterprises shall be subject

to the method of tax exemption, credit and refund.

d. VAT is free on the good self-produced and exported by small taxpayers.

III. Tax Preference for Consumption Tax

For taxpayers exporting taxable consumer goods, the consumption Tax shall be exempt.

IV. Tax Preference for Business Tax

a. Any foreign enterprise which has no establishment or place in China but which derives interest or rentals on the lease of tangible movable property from sources in China, or which, though it has an establishment or place in China, derives such income and the income is not effectively connected with such establishment or place, shall be exempt from Business Tax.

b. The income derived from transfer of technology(namely the involuntary conveyance of the ownership or usufruct of patent and non-patented technology with the verification issued by the provincial science department or the contract of technology transfer and the approval document issued by provincial bureau of commerce in charge of examining and approving importation of foreign technology or issued by authorized local bureau of commerce) ，technology development and the relevant technology consultation and technical services by units and individuals, and the income relating to the technology transfer as initial fee and royalty ,obtained in proportion to the sale of the product ,shall be exempt from Business Tax.

c. Income from the transfer of equity derived by enterprises with foreign investment and by foreign enterprises shall be exempt from Business Tax.

d. If commercial corporations, service corporations(excluding the corporations engaged in advertising, housing mediation, pawn, sauna, massage or oxygen bar ) , processing corporations among labor employment service enterprises ,and small enterprise entities of processing nature in neighborhood or community recruit new members