Speaking engagements in June throughout China, Germany and North America.
The accounting, tax and legal experts of Dezan Shira & Associates regularly attend and speak at international events pertaining to foreign investment in China, India, Singapore, Vietnam and the wider ASEAN region. Below, we provide a list of events taking place in June, along with the relevant event and contact details to get meet our staff in person.
For further information on these events or to book a complimentary one-on-one session with our staff at any of the locations below, please contact email@example.com. A comprehensive list of upcoming events that Dezan Shira staff will be attending is available here.
By Stephen O’Regan
International Business Advisory, Dezan Shira & Associates
In the past eight years, China has taken a series of measures to aid in the development of small and medium-sized enterprises (SMEs) such as establishing special support funds, reducing corporate income tax (CIT) and value-added tax (VAT) rates, clearing some administrative fees, and allowing special social security policies in certain enterprise. The development of SMEs contributes over 60 percent to China’s total GDP growth and have become a major drive of the country’s economic advancement. These developments are aimed to solve the capital shortage problem that resides in most SMEs and promote more investment and business.
In China, small and low-profit enterprises refer to enterprises engaged in industries which are not prohibited or restricted by the government and meet the following conditions:
- For industrial enterprises with annual taxable income not exceeding RMB 300,000, total employees not exceeding 100 person, and total assets not exceeding RMB 30 million; and
- Other enterprises with annual taxable income not exceeding RMB 300,000, total employees not exceeding 80 person, and total assets not exceeding RMB 10 million.
Op/Ed by Chris Devonshire-Ellis
The potent symbol of Russia, the double-headed eagle, shows both faces to the West and the East, but 75 percent of Russian territory is in fact in Asia. This massive chunk of land is home to just 22 percent of Russia’s population. Yet trade routes and historical links run deep, and are expected to increase once again in the Russian-Chinese axis.
By Xu Zhijun
The State Council’s announcement in late 2014 to roll back local tax incentives for foreign investors understandably kicked up quite a stir. Foreign companies in part make their investment decisions based on these incentives being available. Equally concerned with the move were local governments, which often make generous use of these incentives to attract more investment into their jurisdictions.
Especially in the light of slowing economic growth, the State Council’s announcement was met with protests from local governments and foreign investors alike. Convinced by these objections, the State Council released a circular on May 10, 2015 amending the original decision. The new circular lets existing preferential policies that included an expiry date continue until that date. For existing incentives that were offered without such an expiry date, local governments will have to now set one. Continue reading…
By Dezan Shira & Associates
Editor: Rainy Yao
Following the huge success of the Shanghai Free Trade Zone (FTZ), China recently launched three new FTZs in Guangdong, Tianjin and Fujian, along with the release of the Negative List for Foreign Investment applicable to the four FTZs.
In this last part of the Free Trade Zone series, we concentrate on the Fujian FTZ, which mainly aims to strengthen the province’s cooperation and economic ties with Taiwan and further open up its financial sector for foreign investment. The beneficial policies that stimulate integration with Taiwan offer interesting opportunities for foreign investors that also have a presence there.
When it comes to investing in China, everybody seems to have an opinion. Blogs telling you what to do, how to think, how they did good and how you should be like them. Some sell services, some promote egos, and others tell it plain wrong. The truth is, if you think you should invest in China, then that automatically qualifies you as an entrepreneur. And that marks you out, with or without investment capital, as a winner to start with.
Only entrepreneurs really have the inherent feeling of success in their bones. Only entrepreneurs really make things happen. From Zuckenberg to Gates, the big players who shaped today’s world had ideas, not university degrees or corporate careers. So if you don’t have those either, that’s also okay. Continue reading…
By Rainy Yao and Edoardo Rosettani
China Briefing releases an update of minimum wage levels across the People’s Republic of China every year, with the view of helping foreign investors understand the current state of the China market. Wages have an important bearing on production costs, and play a key role for foreign investors deciding where to set up or expand operations. As we shall see, minimum wage trends are also indicative of the developments in China’s consumer base.
Minimum wages in China are set at the local level and updated throughout the year. This is done to account for the different standards of living across the country. Local governments will take into consideration:
- Minimum cost of living
- Economic development and labor dynamics in the area
- Average wages
- Average consumer prices in the area
- Social security and housing fund contributions paid by individual employees
China Raises Consumption Tax on Cigarettes
Earlier this month, the Ministry of Finance and the State Administration of Taxation jointly announced that the consumption tax rate of cigarettes would be raised from the current 5 percent to 11 percent starting May 10. Further, a special duty of RMB 0.005 would be imposed on each cigarette. Consumption tax in China is levied on five categories of products:
- Products the over-consumption of which is harmful to health, social order and the environment (such as tobacco, alcohol, and fireworks)
- Luxury goods and non-necessities (such as precious jewelry and cosmetics)
- High-energy consumption and high-end products (such as passenger cars and motorcycles)
- Non-renewable and non-replaceable petroleum products (such as gasoline and diesel oil)
- Financially significant products (such as motor vehicle tires)