Since 1 May 2016, Business Tax has no longer been under China’s indirect tax regime and this signifies the completion of the B2V Reform in China. The VAT chain in China is completed for largely all industries and taxpayers could claim VAT credit for the purchase of tangible goods, immovable properties, intangibles and most services.
The Shanghai FTZ has issued its first all-in-one license to Sinopec Shanghai Gaoqiao Petrochemicals Company.
General Administration of Quality Supervision, Inspection and Quarantine, the state body in charge of customs inspection and quarantine, authorized the zone to combine licenses from different departments into one. This means that manufacturing businesses no longer need to apply for each permit separately, the zone authorities will review all company's manufacturing facilities and products just once, they can also decide whether to exempt a company from license renewal inspections. The new practice will save companies both time and application costs.
Hong Kong recently signed agreements with six more jurisdictions, namely Belgium, Canada, Guernsey, Italy, Mexico and the Netherlands, for conducting automatic exchange of financial account information in tax matters (AEOI).
A Government spokesman said “We have been seeking to expand Hong Kong's AEOI network with our tax treaty partners. The signing of agreements with six more jurisdictions, bringing up the number of Hong Kong’s AEOI partners to a total of nine (including Japan, Korea and the United Kingdom), signifies the Government's efforts in this drive”.
The French Parliament has recently approved the new Finance Bill for 2017. Although the longevity of new tax measures will depend on the results of the French presidential election in May 2017, these are the main developments that are worth noting: