Other Briefings
Good Language Practice in China-Based Contracts
By Richard Hoffmann Oct. 14 – When doing business in China, many contracts need to also be written in Chinese. There is also usually an issue over arbitration in contracts between Chinese and overseas entities. It is usually typical – and often a legal requirement – for the contracts of joint ventures or construction design […]
Online Gaming Industry Banned from Foreign Investment
Oct. 12 – The General Administration of Press and Publication (GAPP) and the National Copyright Administration announced that foreign investment in China’s online gaming industry is now banned in any form. According to the circular, foreign businesses are prohibited from investing in online gaming operations through wholly owned enterprises, joint ventures and cooperatives. The new […]
New Issue of China Briefing Tackles Setting Up in China
Oct. 1 – The October issue of China Briefing magazine is out now and available for download (click on the image – complimentary subscription required). In this issue of China Briefing, we take a look at some procedures for establishing a presence in China. From choosing an operational model to properly setting up that legal […]
Employee Allowances and Benefits Now Taxable
Sept. 17 – China’s State Administration of Taxation (SAT) has announced that it will begin taxing certain employee allowances like telecommunications and transportation as part of its general campaign to require more companies to report their tax activities in detail and tighten tax collection. According to the SAT, twenty percent of an employee’s telecommunications allowance […]
New Procedures Issued for Customs Declarations
Sept. 15 – China’s General Administration of Customs (GAC) has issued an announcement with a sample of the required additional documentation for assessing the value, classification and origin of goods effective October 1st. Following the GAC Announcement 49, “About Relevant Questions Concerning Additional Declaration of Imported and Exported Goods,” the additional forms will be used […]
Foreign Invested Partnership Rule Opens New Avenues for FDI
Sept. 11 – China’s Ministry of Commerce is finalizing the details of a draft regulation that is expected to be officially released by Beijing soon that allows foreign entities to apply for business licenses as a foreign invested partnership (FIP). The regulation is relevant for foreign fund managers because it provides the closest legal entity […]
Tax Clarification on Director’s Fees, 13 Month Salaries
Sept. 8 – The State Administration of Tax (SAT) issued Circular 121, clarifying four areas of individual income tax policy (IIT) namely director’s fees, 13 month salaries, criteria for recognition as a Chinese national residing overseas, and property splits associated with divorce. These are as follows: Director’s fees Director’s fees should be taxed under individual […]
Eurocham Paper Critical of China’s Protectionist Measures
Sept. 4 – The European Chamber of Commerce in China (EUCCC) has released their yearly position paper, this time taking a fairly critical stance on China’s progress on World Trade Organization reforms, citing the raising of trade barriers and the squeezing out foreign competitors from domestic markets. The paper detailed several areas of concern: Market […]
