The Provisions define applicable laws where international practices represented by the usual UCP 500 do not cover the disputed LC issue, the legal relationship between the parties to an LC, and the concept of 'LC fraud'.
The Measures stipulate the method of determining the dutiable value of imported goods, the transaction valuation method, elements for which the transaction value is to be adjusted and when special buyer/seller relationships are deemed to exist.
The Tentative Measures allow PRC institutions and residents to invest in foreign financial products through PRC commercial banks, thus broadening their investment channels.
The Circular symbolizes further liberalization of the capital account foreign exchange purchase and remittance by PRC entities for making outbound foreign investments, following previous attempts in 2003 and 2005.
The Opinion clarifies issues such as organizational structure, incorporation form, timing and documentary requirements pertaining to approval applications, registration and capital contributions of foreign-invested enterprises, reinvestment requirements as well as approvals and registration of amendment.
After a one-year suspension of new share sales, the Measures reopen the PRC's stock market with tightened listing requirements. Meanwhile, the Measures removed restrictions on the amount of IPO proceeds and the one-year lock-up prior to the IPO.
In an attempt to clarify and modernize the PRC's regulations governing the public and private offerings of securities by listed companies, the Measures specified the three general requirements regarding the issuer's compliance record, profitability and accounting reports.
The Tentative Provisions were enacted to ensure safety and stability in overseas investments by the PRC National Social Security Fund. It sets out qualifications and duties for overseas investment managers and overseas asset custodians.
The scope of enterprises eligible for tax refunds on the purchase of domestically-manufactured equipment includes foreign-invested enterprises that are ordinary payers of value-added tax or engage in transport business or the development of ordinary housing.