Other Briefings
U.S. Congress Looks to Revise SOX Legislation
By Hank Bourg Dec. 17 – The U.S. House of Representatives last Friday passed sweeping legislation that tightens government regulation of the financial markets in the U.S. including addressing predatory lending practices and unregulated financial derivatives. Nestled in the various sections of the act, titled “The Wall Street Reform and Consumer Protection Act,” is an […]
Clarification on Foreign Exchange Payments for Reinvestment
Dec. 15 – The State Administration of Tax and the State Administration of Foreign Exchange have jointly issued a circular which provides additional clarification on tax certificate requirements for service industry items and transactions. The circular expands the list of items that do not require tax certificates, including payments made by contractors for overseas engineering/construction […]
China’s Tax Administration Releases New Taxpayer Rights and Obligations Guidelines
BEIJING, Dec. 11 – The State Administration of Taxation recently issued a notice detailing the rights and obligations of taxpayers in China. The Notice of the State Administration of Taxation on the Rights and Responsibilities of Taxpayers, issued on November 30, lists 14 rights for taxpayers, including the right to be informed of relevant laws, […]
Dezan Shira & Associates Holds Seminar to Prepare for Upcoming Tax Season
BEIJING, Dec. 10 – Dezan Shira & Associates held a seminar entitled “How to Manage Your Annual Compliance Processes in China for 2010” on Tuesday night at the German Centre Beijing, addressing issues pertinent to representative offices and wholly foreign-owned enterprises operating in China. Sabrina Zhang, the national tax partner for Dezan Shira & Associates, […]
Non-Profit Organization Requirements for Tax Exemption Explained
Dec. 9 – The Ministry of Finance (MOF) and the State Administration of Taxation (SAT) has released a circular explaining the requirements needed by non-profit organizations (NPOs) to qualify for tax exemption. NPOs are eligible for tax exemption for five years. After that, NPOs must re-submit applications for the tax benefit within 3 months before […]
Welfare Payments to be Redefined as Taxable Income
Dec. 4 – China’s Ministry of Finance (MOF) has released a notice that will reconsider welfare payments like transportation payments, communication subsidies and other benefits previously not subject to tax as part of an individual’s taxable income. The new regulation is a reaction to a nationwide inspection campaign launched by the State Administration of Taxation […]
Clarification on Real Property On-Letting
Dec. 4 – The State Administration of Taxation has released Circular 639 to further explain individual income tax (IIT) treatments on income derived by individuals from on-letting real property. According to the circular, income earned from on-letting real property is taxable under the IIT’s property rental category. On-lessor rental given to the landlord is qualified […]
Claim Deadline for Input VAT Credits Extended
Dec. 3 – China’s State Administration of Taxation (SAT) has issued Circular 617 that extends the claim deadline for input value-added tax credits for certain invoices from 90 days to 180 days after issue date starting January 1, 2010. The circular covers VAT invoices, land and river good transportation invoices, motor vehicle sales invoices, and […]
