China is Expected to Progress Its Global Corporate Tax Rules

China is Expected to Progress Its Global Corporate Tax Rules
Specialties
Country expertise
Industries
China is Expected to Progress Its Global Corporate Tax Rules
August 4th, 2015
On 30 September 2015, China Daily has reported that China will be at the forefront of embracing the emerging international tax rules to combat base erosion and profit shifting, known as BEPS, as it shifts toward becoming a "capital-export" country.
Modernization

On 30 September 2015, China Daily has reported that China will be at the forefront of embracing the emerging international tax rules to combat base erosion and profit shifting, known as BEPS, as it shifts toward becoming a "capital-export" country.

Modernization

China Daily has reported that the country is expected to be proactive in ensuring international tax rules that combat base erosion and profit shifting. The modernization of the tax system would not only would it encourage additional inbound investment, but it would even encourage outbound investment from Chinese companies. Therefore it is expected China will embrace these new principles.

"Certainly for China outbound investment becomes a bigger factor. Chinese companies will also have to follow rules implemented by governments in Southeast Asia, Africa and so on. That clarity and consistency will be important for Chinese companies as well,".

Embracing BEPS

China is expected to embrace BEPS as under the existing tax regimes, companies have been routinely shifting income from locations of their operations to low-tax havens. Activities like manufacturing that take place in their jurisdictions escape the tax net as most value creation, such as research and development, happened in developed countries. Multinationals in China carry out R&D and testing, but technology gained from these activities is generally not patented in the country. Intellectual property companies are incorporated in low-tax jurisdictions. 

Sources: China Daily

- Select - 
- Select - 
China is Expected to Progress Its Global Corporate Tax Rules
; posted on
August 4th, 2015
On 30 September 2015, China Daily has reported that China will be at the forefront of embracing the emerging international tax rules to combat base erosion and profit shifting, known as BEPS, as it shifts toward becoming a "capital-export" country.
Modernization
TPA China Desk

TPA Global, one of the leading independent global transfer pricing services groups, introduces the TPA CHINA Desk to satisfy the burgeoning demand for specialist transfer pricing services by Chinese multinationals with operations in Europe - as well as European multinationals with operations in China.

Copyright © 2016
Transfer Pricing Associates BV.
All rights reserved.

Disclaimer | Privacy

H.J.E. Wenckebachweg 210
1096 AS Amsterdam
T: +31 20 462 3530
E: info@tpa-global.com
I: www.tpa-global.com