China Specific Tax Rules
Prior to 2009, China generally followed OECD Guidelines. New guidelines were announced by the State Administration of Taxation (SAT) in March 2008 and issued in January 2009. The new rules continue to apply to domestic and international transactions. These guidelines differ materially in approach from those in other countries in two principal ways: 1) they are guidelines issued instructing field offices how to conduct transfer pricing examinations and adjustments, and 2) factors to be examined differ by transfer pricing method. The guidelines cover:
- Administrative matters
- Required taxpayer filings and documentation
- General transfer pricing principles, including comparability
- Guidelines on how to conduct examinations
- Advance pricing and cost sharing agreement administration
- Controlled foreign corporation examinations
- Thin capitalization
- General anti-avoidance
Read more about this topic: Transfer Pricing
Famous quotes containing the words china, specific, tax and/or rules:
“Consider the China pride and stagnant self-complacency of mankind. This generation inclines a little to congratulate itself on being the last of an illustrious line; and in Boston and London and Paris and Rome, thinking of its long descent, it speaks of its progress in art and science and literature with satisfaction.... It is the good Adam contemplating his own virtue.”
—Henry David Thoreau (1817–1862)
“I was asking for something specific and perfect for my city,
Whereupon lo! upsprang the aboriginal name.
Now I see what there is in a name, a word, liquid, sane, unruly,
musical, self-sufficient,
I see that the word of my city is that word from of old,
Because I see that word nested in nests of water-bays, superb,
Rich, hemm’d thick all around with sailships and steamships, an
island sixteen miles long, solid-founded,”
—Walt Whitman (1819–1892)
“Parents are used to being made to feel guilty about...their contribution to the population problem, the school tax burden, and declining test scores. They expect to be blamed by teachers and psychologists, if not by police. And they will be blamed by the children themselves. It is hardy a wonder, then, that they withdraw into what used to be called “permissiveness” but is really neglect.”
—C. John Sommerville (20th century)
“Rules and particular inferences alike are justified by being brought into agreement with each other. A rule is amended if it yields an inference we are unwilling to accept; an inference is rejected if it violates a rule we are unwilling to amend. The process of justification is the delicate one of making mutual adjustments between rules and accepted inferences; and in the agreement achieved lies the only justification needed for either.”
—Nelson Goodman (b. 1906)