China: Registration Reform / Accelerated Depreciation of Fixed Assets

The State Council of the People’s Republic of China Speeds up the Registration Reform

According to the document numbered Guo Ban Fa [2015] 50 issued by the State Council of the PRC on September 13, 2015, the government is required to speed up the registration reform, which is known as “three certificates combined into one”. It means that companies only need to register once at the industrial and commercial administration department for a business license, instead of three times registration respectively at industrial and commercial administration department for a business license, quality and technology supervision department for an organization code certificate, and tax department for a tax certificate.

The State Administration of Taxation of the PRC issued a document numbered Shui Zong Han [2015] 482 in order to implement the specific works required to carry out the registration reform.

The registration reform provides further convenience for company registration, and encourages people to set up new businesses, and also encourages foreign investor to invest in China.

For more information on the registration reform, please contact Pan-China CPAs LLP at the contact info hereunder, we are glad to provide one-stop service to you.

The Ministry of Finance and State Administration of Taxation of the PRC Extend the Scope of Accelerated Depreciation of Fixed Assets

According to the document numbered Cai Shui [2015] 106 issued by Ministry of Finance and State Administration of Taxation of the PRC on September 17, 2015, the preferential policy of accelerated depreciation is extended to four significant industries, including light industry, textile, machinery, and vehicle. The document clearly states that companies in these four industries may either shorten the depreciation year or adopt the accelerated depreciation method for their fixed assets acquired after January 1, 2015.

This preferential policy indicates Chinese government’s support for traditional industry investments, and stimulates companies to invest and update their equipment. This policy also extends the scope of preferential policies enjoyed by foreign investors.

For more information on accelerated depreciation of fixed assets, please contact Pan-China CPAs LLP at the contact info hereunder, we are glad to provide one-stop service to you.

Contact:
Pan-China CPAs LLP
+86 571 89882187
+86 13600525499
gongjian@pccpa.cn

vgd_panchina_newsletter_january.pdf (462.26Kb)