State Administration of Taxation, Offsetting the Technological Development Costs of Foreign Investment Enterprises Against Their Taxable Income Supplementary Circular
国家税务总局关于外商投资企业技术开发费抵扣应纳税所得税额的补充通知
September 02, 2001 | BY
clpstaff &clp articles &Issued: June 8 2001Main contents: The Circular states that foreign investment enterprises are entitled to enjoy an additional 50% deduction of the technological…
Issued: June 8 2001
Main contents: The Circular states that foreign investment enterprises are entitled to enjoy an additional 50% deduction of the technological development costs, as prescribed in Paragraph Two of Item One of the State Administration of Taxation, Relevant Questions on Offsetting the Technological Development Costs of Foreign Investment Enterprises Against Their Taxable Income Circular, incurred in the development of technology while coordinating with or which they entrusted to another work unit (Item Two). However the cost incurred by the enterprise entrusted with the development is not entitled to the additional 50% offset (Item Three).
Related legislation: State Administration of Taxation, Relevant Questions on Offsetting the Technological Development Costs of Foreign Investment Enterprises Against Their Taxable Income Circular, Sep 7 1999, CLP 1999 No.10 p9
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