Beijing Municipality, Tax Policies in Support of Such Projects as the Practical Application of High and New Technology Achievements Implementing Measures

北京市支持高新技术成果转化项目等税收政策实施办法

March 31, 2002 | BY

clpstaff &clp articles &

Exemptions in business tax for high and new technology-related expenses.

Clp Reference: 3200/02.01.05 Promulgated: 2002-01-05 Effective: 2002-01-01

Issued: January 5 2002
Effective: January 1 2002

Main contents: The Measures allow profit-making high and new technology enterprises (including foreign investment enterprises) that have a growth of at least 10% in their research and development expenses to offset 50% of such actual expenses against their taxable income for the year (Article 3). Article 4 also allows high and new technology enterprises (including foreign investment enterprises) to amortize in two years the expenses incurred in purchase of advanced technology and patents. The expenses incurred in technology transfers, technological development and related technology consultancy and services by organizations such as foreign investment enterprises and foreign-funded scientific and technological research organizations and by foreigners are also exempted from business tax (Article 5). Accompanying computer software whose copyright and proprietorship are also transferred may also be exempted from business tax.
Related legislation: Beijing Municipality, Further Promoting the Development of High and New Technology Industry Several Provisions, Nov 9 2001; Tax Questions Relevant to Promoting Enterprise Technological Advancement Supplementary Circular, 1996 and Relevant Tax Questions Concerning Thorough Implementation of the«Central Committee of the Communist Party of China and State Council, The Decision on Strengthening Technological Innovation, Developing Advanced Science and Technology and Realizing Industrialization» Circular, Nov 2 1999, CLP 2000 No.5 p11

clp reference:3200/02.01.05/BJpromulgated:2002-01-05effective:2002-01-01

This premium content is reserved for
China Law & Practice Subscribers.

  • A database of over 3,000 essential documents including key PRC legislation translated into English
  • A choice of newsletters to alert you to changes affecting your business including sector specific updates
  • Premium access to the mobile optimized site for timely analysis that guides you through China's ever-changing business environment
For enterprise-wide or corporate enquiries, please contact our experienced Sales Professionals at +44 (0)203 868 7546 or [email protected]