New IIT Laws for the “Six-Year" Rule
The new IIT laws replaces the old "five-year" lookback period rule with a "six-year" rule to adapt to the new definition of resident that uses the 183-day test.
China Tax Newsletter
You will here find our China Tax Newsletter
January 2022 - China Tax News
On 31 December 2021, the Ministry of Finance (“MOF”) and State Taxation Administration (“STA”) released two announcements (i.e., MOF STA Announcement [2021] No.42 and No.43) officially extending some preferential Individual Income Tax (“IIT”) policies
“聚焦粤港澳大湾区政策”主题系列之二 —— 珠海横琴：横琴粤澳深度合作区建设
粤港澳大湾区由香港、澳门2个特别行政区和广东省珠三角9市（广州、深圳、珠海、佛山、中山、东莞、肇庆、江门、惠州）组成，涉及到三个关税区、三种货币、三种法律制度。粤港澳三地，是我国开放程度最高、经济活力最强的区域之一。
Individual Income Tax Reform – The “Six-Year" Rule
The new IIT laws replaces the old "five-year" lookback period rule with a "six-year" rule to adapt to the new definition of resident that uses the 183-day test.
January 2022 - China extends transitional period for some preferential Individual Income Tax treatments
On 31 December 2021, the Ministry of Finance (“MOF”) and State Taxation Administration (“STA”) released two announcements (i.e.,
MOF STA Announcement [2021] No.42 and No.43) officially extending some preferential Individual Income Tax (“IIT”) policies
MOF STA Announcement [2021] No.42 and No.43) officially extending some preferential Individual Income Tax (“IIT”) policies
“聚焦粤港澳大湾区政策” 主题系列之一 —— 深圳前海：税收优惠政策延续及前海合作区扩容
粤港澳大湾区由香港、澳门2个特别行政区和广东省珠三角9市（广州、深圳、珠海、佛山、中山、东莞、肇庆、江门、惠州）组成，涉及到三个关税区、三种货币、三种法律制度。粤港澳三地，是我国开放程度最高、经济活力最强的区域之一。
“聚焦粤港澳大湾区政策”主题系列之二 —— 珠海横琴：横琴粤澳深度合作区建设
粤港澳大湾区由香港、澳门2个特别行政区和广东省珠三角9市（广州、深圳、珠海、佛山、中山、东莞、肇庆、江门、惠州）组成，涉及到三个关税区、三种货币、三种法律制度。粤港澳三地，是我国开放程度最高、经济活力最强的区域之一。
March 2021 - The OECD’s updated position on permanent establishment and residency due to COVID-19 pandemic
The COVID-19 pandemic has lasted for over one year now. The Organisation for Economic Co-operation and Development (“OECD”) has been following the pandemic closely, issuing guidance on the temporary change of work location because of travel restriction giving rise to the creation of permanent establishment (“PE”) or change in residence status of corporations, and guidance on transfer pricing.
September 2020 - China addresses permanent establishment and residency issues due to COVID-19
The COVID-19 pandemic has significantly impacted the normal operation of multinational enterprises to different extents. The OECD had issued an analysis called “OECD Secretariat Analysis of Tax Treaties and the Impact of the COVID-19 Crisis” on 3 April 2020. Mazars analyzed the OECD Analysis on its China Tax Newsletter in April 2020.
Chinese Human Resources and Social Security Regulations
Chinese government have issued various regulations in regard of Human resources(HR) and Social security(SC) to support enterprises in difficult period. We’d like to share with you the latest announcement which may benefit your company. Kindly note these are latest notices announced, it may be revised or cancelled by the government in such situation.
New Measures For Claiming Treaty Benefits
The State Administration of Taxation (the “SAT”) has loosened up its requirements for non- residents of China in claiming the applicable tax treaty benefits, effective 1 January, 2020. The new measures were issued under SAT Public Notice (2019) No. 35 (the” PN 35”) in October 2019. Previously, under the SAT Public Notice (2015) No. 60 (the “PN 60”), pre-approval by the China tax authority in claiming tax treaty benefits was not required, but taxpayers were still required to fulfil the record-filing procedure. The PN 35 goes even further by allowing non - resident taxpayers to determine whether it is eligible for the relevant tax treaty benefits, i.e., a self-assessment of eligibility, and claim such tax treaty benefit as long as the relevant supporting documents are retained for inspection by the tax authority.
This new measure is one of the measures to optimize the taxation business environment and to “streamline administration, delegate powers and improve regulation and services”.
This new measure is one of the measures to optimize the taxation business environment and to “streamline administration, delegate powers and improve regulation and services”.
Want to know more?
Peter Law Partner, Tax Advisory Services Shanghai
Emilio WANG Jianmin Managing partner, Guangzhou Guangzhou Tianhe District
