Overview of Foreign-related Enterprises Income Tax Preferential Policies

by huiyun_moo on 2009-09-24 14:53:30

Part One: Tax Rate Preferential Policies

The state offers preferential enterprise income tax rates for foreign-invested enterprises located in specific regions, industries, or projects, or those that meet certain conditions. The preferential tax rate is lower than the statutory rate of 30%. There are two tiers of preferential tax rates: 15% and 24%.

I. Areas and Industries in the Guangzhou Region Eligible for a Reduced Tax Rate of 15%

(One) Productive foreign-invested enterprises established within the Guangzhou Economic and Technological Development Zone and the Nansha Economic and Technological Development Zone.

(Two) Productive foreign-invested enterprises engaged in the following projects and established in the Guangzhou region:

1. Projects that are technology-intensive and knowledge-intensive;

2. Projects with foreign investment exceeding USD 30 million and long investment recovery periods;

3. Projects involving energy, transportation, and port construction;