China’s premier firm for advising on preferential policies for registered enterprises. We assist with China business, China incorporations, China investment, China merger acquisition service and your own China accountant, working for you.
Preferential policies for Enterprises Registered with Shenyang Economic and Technological Development Area
In order to attract investors, the Development Area has established a series of preferential policies, which include:
1. The municipal government has set up “Technological Innovation Fund” for small-to-medium-sized technological enterprises and “Enterprise Development Fund”, which will give fund support to industrialize high-tech achievements;
2. Foreign invested production enterprises can enjoy a favorable income tax rate at 15%;
3. Foreign invested enterprises that registered for ten years or more can enjoy the “Exempt Two, Deduct Three” tax policy from the first profit making year;
4. After the exemption term, income tax rate for cutting-edge technological enterprises will remain as 10% for another three years;
5. Foreign investors who reinvest their profits or dividends form their enterprises in China for a period of five years or more can be refunded 40% of the tax they have paid for the reinvested amount;
6. For reinvestment that is injected into an export-oriented or high-tech enterprise, all income tax that is already paid on the reinvested part will be refunded;
7. Foreign investors are exempt from income tax when wire-transferring their profit abroad;
8. For enterprises that increase 10% or more in technological development expense, the actual sum that they have spend will be deducted from their income tax;
9. Foreign invested enterprises use cash to purchase new domestic made capital equipment, the VAT for purchase will be refunded;
10. When capital equipment is in accordance with the encouraged catalog in “Catalogue for the Guidance of Foreign Investment Industries”, 40% of investment in equipment will be deducted from the balance of income tax between the purchasing year and the former year.