Preferential tax policies for foreign investment and joint ventures
(1) Preferential tax policies for foreign-invested enterprises encouraged by the state
The state encouraged foreign-invested enterprises refer to the encouraged projects in the Catalogue for Guidance of Foreign-invested Industries and the industrial projects specified in the Catalogue of Guangxi Foreign-invested Advantageous Industries as their main business, whose main business income accounts for more than 70% of the total corporate income Business.
1. During the period from 2001 to 2010, the enterprise income tax was levied at a reduced rate of 15%.
2. Import self-use equipment within the total investment of the project, except for the products listed in the Catalogue of Imported Commodities Not Exempted from Tax for Foreign Investment Projects, which are exempt from customs duties and import link taxes.
3. Enterprises use self-use funds (referring to enterprise reserve funds, development funds, depreciation and after-tax profits) other than the investment amount to import self-use equipment that cannot be produced or whose performance cannot meet the needs, as well as technologies and accessories supporting the above equipment (including Imported with the equipment or imported separately), except for the products listed in the List of Imported Commodities Not Exempted from Tax for Foreign Investment Projects, customs duties and import link taxes are exempted.
4. For domestic equipment purchased by enterprises within the total investment, in addition to the products listed in the Catalogue of Imported Commodities Not Exempted from Tax for Foreign Investment Projects, 40% of the investment in domestic equipment purchased can be increased from the year when the equipment was purchased over Credit for corporate income tax.
5. In order to improve economic efficiency, improve product quality, increase color variety, promote product upgrades, expand exports, reduce costs, save energy consumption, strengthen comprehensive utilization of resources and three waste management, labor insurance safety and other purposes, adopt advanced and applicable New technology, new technology, new equipment, new materials, etc. For domestic equipment purchased outside the total investment by modifying existing facilities and production process conditions, 40% of the investment in domestic equipment purchased can also be purchased from the equipment in the year compared with the previous year. New corporate income tax credit.
In the above paragraphs 4 and 5, the amount of corporate income tax deductible for foreign-invested enterprises in domestic equipment investment in each year shall not exceed the amount of corporate income tax newly added by the enterprise in that year compared to the year before the equipment purchase. If the newly-added corporate income tax in the current year is insufficient for the credit, the investment amount that is not deducted can be used to extend the credit of the corporate income tax newly added in the following year compared to the year before the purchase of the equipment, but the duration of the extended credit cannot be longer than than five years.
6. The enterprise purchases domestic equipment within the total investment, as well as the plastic parts, rubber parts, ceramic parts and pipe used in petrochemical projects listed with the equipment listed in the purchase contract. In addition to the products listed in the Catalogue of Imported Commodities, VAT can be refunded in full.
To enjoy the tax refund equipment, the following two conditions must be met at the same time:
(1) Unused domestic equipment purchased in currency, excluding physical investment and intangible asset investment by the investor;
(2) Must be domestic equipment purchased within the total amount of tax refund investment approved by the tax authority and purchased after September 1, 1999.
7. The imported equipment listed in the Catalogue of Imported Goods Not Exempted from Tax in Foreign Investment Projects are TV sets, video cameras, video recorders, audio equipment, air conditioners, refrigerators, freezers, washing machines, cameras, photocopiers, Program -controlled telephone exchanges, microcomputers and peripherals, telephones, radio pagers, fax machines, electronic calculators, typewriters and word processors, automobiles, motorcycles, etc.
8. For foreign investment encouraged non-oil and gas mineral resources mining projects, the mineral resources compensation fee is exempted for five years.
(2) The long-term reduction and exemption of low income tax rates for the following regions and industries shall be levied on corporate income tax.
1.Identified by Guangxi Science and Technology Department for productive foreign-invested enterprises located in Nanning Economic and Technological Development Zone, Sino-foreign joint ventures engaged in port terminal equipment in Guangxi, and established in Nanning High-tech Industrial Development Zone and Guilin High -tech Industrial Development Zone For foreign-invested enterprises of high-tech enterprises, a long-term reduction of the corporate income tax at a rate of 15% will be levied.
2. For productive foreign-invested enterprises located in Nanning, Beihai, Wuzhou, Qinzhou, Yulin, Fangchenggang, Pingxiang, Dongxing, Hepu County, Cangwu County, and in Beihai National Tourism Holiday Foreign-invested enterprises in the zone are subject to a long -term reduction of corporate income tax at a rate of 24%. Among the foreign-invested enterprises encouraged by the state, the enterprise income tax was levied at a reduced rate of 15% during the period from 2001 to 2010.
Productive foreign-invested enterprises refer to foreign-invested enterprises that:
A. Machinery manufacturing, electronics industry;
B. Energy industry (excluding extraction of oil and natural gas);
C. Metallurgical, chemical and building materials industries;
D. Light industry, textile, packaging industry;
E. Medical equipment, pharmaceutical industry;
F. Agriculture, forestry, animal husbandry, fisheries and water conservancy;
G. Construction industry;
H. Transportation industry (excluding passenger transportation);
I. Technology development, geological census, industrial information consulting and production equipment, precision instrument maintenance services that directly serve production.
High-tech enterprises refer to enterprises engaged in the following high-tech fields:
A. Electronics and Information Technology;
B. Biological engineering and new medical technology;
C. New materials and applied technologies;
D. Advanced manufacturing technology;
E. Aerospace technology;
F. Modern agricultural technology;
G. New energy and energy-efficient technologies;
H. New technologies for environmental protection;
I. Offshore Engineering Technology;
J. Nuclear application technology;
K. Other new processes and technologies applied in the transformation of traditional industries.
(3) Regular reduction and exemption of corporate income tax for enterprises that meet the following conditions
1. For productive foreign-invested enterprises with an operating period of more than ten years, exempt from corporate income tax for the first and second years from the year when the profit begins, and reduce corporate income tax by half for the third to fifth years . Referred to as exempt from two minus three. Among them, foreign-invested enterprises that are encouraged by the state will levy corporate income tax at a rate of 15% in half from 2001 to 2010.
2. Sino-foreign joint ventures engaged in the construction of port and docks. If the operating period is more than fifteen years, they can be exempted from corporate income tax for the first to fifth years from the year when the profit begins, and reduced for the sixth to tenth years. Half-collected corporate income tax, referred to as exempt from five minus five.
3. Sino-foreign joint ventures established in Nanning High-tech Industrial Development Zone and Guilin High-tech Industrial Development Zone and identified as high-tech enterprises by the Guangxi Science and Technology Department, with a business period of more than ten years, from the year when the profit begins, the One and two years are exempt from corporate income tax.