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:
“Anyone who tries to keep track of what is happening in China is going to end up by wearing all the skin of his left ear from twirling around on it.”
—Robert Benchley (1889–1945)
“The more specific idea of evolution now reached is—a change from an indefinite, incoherent homogeneity to a definite, coherent heterogeneity, accompanying the dissipation of motion and integration of matter.”
—Herbert Spencer (1820–1903)
“I have no doubt that it was a principle they fought for, as much as our ancestors, and not to avoid a three-penny tax on their tea; and the results of this battle will be as important and memorable to those whom it concerns as those of the battle of Bunker Hill, at least.”
—Henry David Thoreau (1817–1862)
“Playing games with agreed upon rules helps children learn to live by rules, establish the delicate balance between competition and cooperation, between fair play and justice and exploitation and abuse of these for personal gain. It helps them learn to manage the warmth of winning and the hurt of losing; it helps them to believe that there will be another chance to win the next time.”
—James P. Comer (20th century)