State Administration of Taxation, Notice on Income Tax Treatment Issues Concerning Losses from Enterprise Equity Investment

国家税务总局关于企业股权投资损失所得税处理问题的公告

September 04, 2010 | BY

clpstaff &clp articles

Notice stipulating one-off deduction of equity investment losses.

Clp Reference: 3230/10.07.28 Promulgated: 2010-07-28 Effective: 2010-01-01

Issued: July 28 2010
Effective: January 1 2010

Main contents: Where an enterprise incurs a loss from equity interest investment in another entity, such loss shall be deducted only once as enterprise losses when calculating enterprise taxable income for the year that is recognised to be the year in which the loss occurred (Article 1). Investment losses from equity investment that occurred prior to the issue of this Notice that have not yet been treated shall be deducted only once in 2010 in accordance with this Notice (Article 2).

Related legislation: PRC Enterprise Income Tax Law, Mar 16 2007, CLP 2007 No.3 p.21

clp reference:3230/10.07.28(1)
promulgated:2010-07-28
effective:2010-01-01

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