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Certain changes on China withholding tax obligations for non-residents

Passive incomes such as dividends, interests, royalties, capital gains derived from China by a non-Chinese tax resident enterprise (“NRE”) are generally subject to China enterprise income tax in the form of withholding tax. Effective from 1 December 2017, the following changes should be noted:

  

China to welcome more foreign investments

Since early this year, the Chinese government has released various circulars to promote and attract foreign investments. The key policies refer to further relaxation of the access restriction on foreign capital, formulation of fiscal and taxation incentives, improvement of the investment environment for state level economic development zones, facilitation of talent entrance and exit, as well as optimizing business environment. The major features are as follows:

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