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There have been changes issued by China
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MessaggioInviato: 03 Dic 2019 06:40:01    Oggetto:  There have been changes issued by China
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There have 聽been changes issued by China 聽to the Companies鈥?and Branch Offices鈥?tax return forms that is effective from January 2012. The Corporate Income Tax (CIT) return forms that have been revised include (Form A) for monthlyquarterly provisional corporate income tax returns
, (Form B) – monthlyquarterly and annual corporate income tax returns and TPAR Form鈥揻or tax payment allocation return meant for companies with branches with independent business operations

Changes to monthlyquarterly provisional income tax returns (Form A)
The new Form A includes the following clauses:

The taxable income of 鈥榮pecific businesses,鈥?such as the monthly and quarterly deemed profit calculated as per the deemed gross profit rates for property developers for the sale of property still under development. Non-taxable income Tax-exempt income Tax Losses (allowable) which are brought forward The independent production and business operation division of the headquarters will be taxed Any income tax overpaid in the previous years will be set off against the current period鈥檚 CIT liability. Overpaid CIT which has not been refunded will also be considered to reduce the CIT payable for the current period. Fixed allocation ratios for provisional CIT payment of headquarters are not indicated in the new Form A, because the allocation ratios for a taxpayer with business branches in operation in the same province as the headquarters would be determined in accordance with the regulations in each province.

Changes to the MonthlyQuarterly and Annual CIT return (Form B)

Deemed taxable income needs to be calculated on total revenue and include “deduction of non-taxable income” and “deduction of tax-exempt income” in the total revenue. The new Form B includes CIT payable deemed by the tax authority. Calculation of deemed taxable income will not be based on total expenditures any more. The “CIT reduced or exempted” clause has been removed from the section where CIT payable is calculated.

Changes to TPAR Form
A significant change to the new TPAR Form involves the removal of details on total revenue
, total salary and total assets of the headquarters from the “information of headquarters” section. Explanatory notes to the TPAR form under Announcement 64 state that such information may be included in 鈥榠nformation of branches鈥?section. This section will also need to contain information regarding each branch except that of the headquarters.
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MessaggioInviato: 03 Dic 2019 06:40:01    Oggetto: Adv






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