Apr. 1 – The new issue of China Briefing Magazine, titled M&A Regulations in China, is out now and will be temporarily available as a complimentary PDF download on the Asia Briefing Bookstore throughout the month of April.
Here we return to a popular subject – China’s M&A regulatory framework. With the global economy slowly coming out of recession, and Chinese businesses wanting to expand both domestically and overseas (issues driven by state policy), we expect to see a gradual upswing in the number of M&A deals being conducted with Chinese companies in the forthcoming months.
However, the subject of M&As in China is far from simple, and many important aspects tend to get glossed over. In actuality, there are many issues to be aware of, such as how to stay in compliance with the offshore equity transfer requirements set forth in Circular 698, and how to structure a transaction so as to minimize your tax obligations. These matters should be fully understood by foreign investors when targeting domestic companies.
In this issue of China Briefing Magazine, we focus on the regulatory issues affecting cross-border M&As, and the key tax points foreign investors should be aware of when conducting M&As involving domestic Chinese companies. More specifically, we discuss the use of so-called “special purpose vehicles” and how China’s general anti-avoidance rules and related regulations are translating into increased scrutiny over offshore equity transfers by the Chinese tax authorities. We also address the key aspects of transfer pricing, corporate restructuring exemption, and valuation as they relate to M&As.
In this issue:
- Issues Affecting Cross-Border M&As
- Tax Focus: M&As of Domestic Companies by Foreign Investors
- Capital Gains Under DTAs
M&A Regulations in China is out now and immediately available as a complimentary PDF download on the Asia Briefing Bookstore.
Dezan Shira & Associates is a specialist foreign direct investment practice, providing corporate establishment, business advisory, tax advisory and compliance, accounting, payroll, due diligence and financial review services to multinationals investing in emerging Asia. Since its establishment in 1992, the firm has grown into one of Asia’s most versatile full-service consultancies with operational offices across China, Hong Kong, India, Singapore and Vietnam as well as liaison offices in Italy and the United States.
For further details or to contact the firm, please email firstname.lastname@example.org, visit www.dezshira.com, or download the company brochure.
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Mergers and Acquisitions in China (Second Edition)
This guide is a practical overview for the international business to understand the rules, regulations and management issues regarding mergers and acquisitions in China. It will help you to understand the implications of what can initially appear be a complicated and contradictory subject as well as points you at the structures you should use and some of the common pitfalls you may encounter.
Reevaluating China Joint Ventures and M&As
In this issue of China Briefing Magazine, we take a fresh look at joint ventures and M&As in China – the current market circumstances, the motivations and challenges faced – and provide a few practical insights into key issues such as forming a joint venture contract and finding an M&A partner.
The Legal Fundamentals of China M&As
Co-Investing in China with Chinese Partners
China Formalizes Security Review Rules for Inward M&As