Legislation roundup: FTZ reform expansion, film law and enterprise income tax

November 17, 2016 | BY

Katherine Jo &clp articles &

The State Council has promoted replicating FTZ reforms on a national scale, filmmaking approval requirements have been relaxed and the MOF and SAT have allowed banks to deduct deposit insurance premiums before tax

Economic Policy

State Council, Circular on Duly Carrying Out the Work of Reproducing and Promoting the New Batch of Pilot Reform Experiences of the Pilot Free Trade Zones

Reform items to be reproduced and promoted on a national scale include:

  1. reform of the examination and approval of the establishment of, and changes to, foreign-invested enterprises in sectors not covered by the negative list;
  2. simplified deregistration of enterprises;
  3. system for mutual recognition of World Customs authorized economic operators (AEOs); and
  4. reform of, and innovation in, the management of certificates of origin.

Further reading

Film Industry

PRC Law for Promoting the Film Industry

A legal person or other organization that proposes to produce a film shall submit an outline of the script to the State Council's film department or the competent local film department for the record. The reporting entity shall no longer be required to be “an enterprise or other organization that has secured a Film Production Permit”.

Further reading

Tax

Ministry of Finance and the State Administration of Taxation, Circular on Policy Issues Relevant to the Deduction of Deposit Insurance Premiums Before Enterprise Income Tax by Banking Financial Institutions

Banking financial institutions shall, in accordance with relevant provisions of the Deposit Insurance Regulations, be permitted to deduct before enterprise income tax deposit insurance premiums calculated and paid at a deposit insurance premium rate not exceeding 0.016%.

Further reading

Economic Policy

State Council, Circular on Duly Carrying Out the Work of Reproducing and Promoting the New Batch of Pilot Reform Experiences of the Pilot Free Trade Zones

Reform items to be reproduced and promoted on a national scale include:

  1. reform of the examination and approval of the establishment of, and changes to, foreign-invested enterprises in sectors not covered by the negative list;
  2. simplified deregistration of enterprises;
  3. system for mutual recognition of World Customs authorized economic operators (AEOs); and
  4. reform of, and innovation in, the management of certificates of origin.

Further reading

Film Industry

PRC Law for Promoting the Film Industry

A legal person or other organization that proposes to produce a film shall submit an outline of the script to the State Council's film department or the competent local film department for the record. The reporting entity shall no longer be required to be “an enterprise or other organization that has secured a Film Production Permit”.

Further reading

Tax

Ministry of Finance and the State Administration of Taxation, Circular on Policy Issues Relevant to the Deduction of Deposit Insurance Premiums Before Enterprise Income Tax by Banking Financial Institutions

Banking financial institutions shall, in accordance with relevant provisions of the Deposit Insurance Regulations, be permitted to deduct before enterprise income tax deposit insurance premiums calculated and paid at a deposit insurance premium rate not exceeding 0.016%.

Further reading

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