Laws of the People's Republic of China

State Administration of Taxation

Reply of the State Administration of Taxation Concerning the Relevant Taxation Issues in the Guiding Catalogue of Industries for Foreign Investment

Guo Shui Han [2005] No. 739

The State Taxation Bureau of Guangxi Zhuang Autonomous Region:

The Request for Instructions on Clarifying the Relevant Taxation Issues in the Guiding Catalogue of Industries for Foreign Investment (Gui Guo Shui Fa [2005] No. 162 ) has been received, we hereby make the follow reply:

In July of 2004, the National Development and Reform Commission and the Ministry of Commerce jointly promulgated Decree No. 13, a new Catalogue of Preponderant Industries for Foreign Investment in Central-western Regions (hereinafter refers to as the Catalogue of Preponderant Industries), which were implemented as of the day of September 1, 2004. The old Catalogue of Preponderant Industries for Foreign Investment in Central-western Regions promulgated by the original Economic and Trade Committee, the original State Planning Committee and the original Ministry of Foreign Trade and Economic Cooperation in 2000 shall be annulled therefrom. For the problem of linking up implementation between the new and old Catalogue of Preponderant Industries involving the exploration of central-western regions and any other tax preference policies, it shall be implemented in the light of the principles of "the new Catalog applies to new enterprises and the old Catalogue applies to old enterprises" as prescribed in the Notice of the State Administration of Taxation on Implementing the Relevant Taxation Issues in the New Guiding Catalogue of Industries for Foreign Investment ( Guo Shui Fa [2002] No. 63 [2002]) and the specific measures uniformly. The foreign investment projects as approved before September 1, 2004 that exclude the range of the old Catalogue of Preponderant Industries but falls into the range of the new Catalogue of Preponderant Industries shall be implemented in accordance with the principles of the original provisions and may not enjoy the relevant tax preference policies in the light of the New Catalogue ..

State Administration of Taxation

July 23, 2005