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The State Council released a Notice to promote the development of the integrated circuit (IC) industry and software industry on August 4th, 2020. The Notice stipulates new measures such as tax reductions and exemptions across the whole industry chain. Additionally, the document outlines the incentives related to comprehensive support for the development of enterprises. Firstly,

China issued an update on its 2020 Negative List by shortening the number of restricted sectors for foreign direct investment (FDI) both nationwide and within the free trade zones (FTZs). The newest version of the 2020 Negative List applies a reduction of the number of industries that were previously restricted or prohibited for foreign investment.

Recently, a new rule governing the Individual Income Tax (IIT) in China has been announced to stimulate current economic activity by putting more cash in the pockets of recent graduates, interns, and new employees. The State Taxation Administration (STA) issued Announcement 13 that aims to adjust the IIT withholding method for certain taxpayers. The new

Tencent Holdings Ltd. has proposed a deal to merge DouYu International Holdings Ltd. with Huya Inc., creating a Chinese game streaming leader akin to Amazon’s Twitch with a market value of more than $10 billion. Tencent has offered to buy 30 million shares of Huya from part-owner Joyy Inc. for $810 million. It also separately

China has avoided a recession after its economy grew by 3.2% in the second quarter of 2020 and can be counted as the first major economy to show a recovery from the damage caused by the coronavirus pandemic. The world’s second largest economy had shrank by 6.8% in the first three months of the year,

Chinese authorities have rolled out preferential income tax plans for companies and individuals in the southern island province of Hainan in order to build it into a globally influential free trade port. Among the policies to be rolled out are those that reportedly would facilitate trade, liberalize investment, allow capital to flow freely cross-border, provide

A proposal to end taxation on cosmetics was recently submitted to the Chinese People’s Political Consultative Conference (CPPCC), a political advisory body, by one of its members, Jing Zhu, chairman of Haima Automobile. Jing believes that taking into regard the improved standard of living in China, cosmetics should be considered daily necessities and not subjected

After recording its first negative quarter since its public listing, mostly due to the COVID-19 crisis, Zara (Inditex Group) has decided to close 16% of its current physical stores In order to focus on e-commerce. Fewer stores and more online sales, the clothing giant Inditex, owner of Zara and other brands such as Bershka, Pull

A new tax policy now requires most employees in China to register through an app that can be downloaded on the country’s tax bureau website. Though that might sound simple enough, in order to proceed with registration, the app requires an individualized tax code. This code can be easily obtained by inputting a Chinese ID

Shanghai has rolled out new measures to promote investment and blunt the economic impact of the COVID-19 pandemic. “These new measures, based on the experience of Tesla Giga Shanghai project featuring Shanghai speed, aim to duplicate a batch of Tesla-like projects, to develop new momentum industries such as online economy and to build some characteristic

China’s dollar-denominated exports unexpectedly rose in April, but imports fell in the same month as movement restrictions to contain the coronavirus outbreak have eased. According to data from the General Administration of Customs released last week, exports rose 3.5% from a year ago while imports fell 14.2% in the same period. Economists had expected exports

Similarly to what was been done in the past few months, in order to further support epidemic prevention and control work, the resumption of production of enterprises, and to facilitate taxpayers and withholding agents to handle tax declaration matters, the State Administration of Taxation has decided to extend the tax declaration period in April 2020.