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:
“The awakening of the people of China to the possibilities under free government is the most significant, if not the most momentous, event of our generation.”
—Woodrow Wilson (1856–1924)
“No more distressing moment can ever face a British government than that which requires it to come to a hard, fast and specific decision.”
—Barbara Tuchman (1912–1989)
“I find nothing healthful or exalting in the smooth conventions of society. I do not like the close air of saloons. I begin to suspect myself to be a prisoner, though treated with all this courtesy and luxury. I pay a destructive tax in my conformity.”
—Ralph Waldo Emerson (1803–1882)
“... a large portion of success is derived from flexibility. It is all very well to have principles, rules of behavior concerning right and wrong. But it is quite as essential to know when to forget as when to use them.”
—Alice Foote MacDougall (1867–1945)