Income Tax Law of the Peoples Republic Of China For Enterprises With Foreign Investment and Foreign Enterprises

文章摘要 该法规定外商投资企业和外国企业所得税的纳税义务人、征税范围与税率,明确总机构设在中国的外商投资企业就境内外所得纳税,外国企业仅就中国境内来源所得纳税。基本税率为应纳税所得额的30%,另加3%地方所得税。对经济特区、经济技术开发区等特定区域及生产性企业实行15%或24%优惠税率,经营期十年以上的生产性企业可享受两年免税、三年减半征收。同时规定再投资退税、亏损向后结转五年、境外已纳税款限额抵免等规则,是涉外企业税务合规的核心法律依据。

Article 1  
Income tax shall be paid in accordance with the provisions of this Law by  
enterprises with foreign investment within the territory of the People's  
Republic of China on their income derived from production, business  
operations and other sources. Income tax shall be paid in accordance with  
the provisions of this Law by foreign enterprises on their income derived  
from production, business operations and other sources within the  
territory of the People's Republic of China.  
Article 2  
"Enterprises with foreign investment" referred to in this Law mean  
Chinese-foreign equity joint ventures, Chinese-foreign contractual joint  
ventures and foreign-capital enterprises that are established in China.  
"Foreign enterprises" referred to in this Law mean foreign companies,  
enterprises and other economic organizations which have establishments or  
places in China and engage in production or business operations, and  
which, though without establishments or places in China, have income from  
sources within China.  
Article 3  
Any enterprise with foreign investment which establishes its head office  
in China shall pay its income tax on its income derived from sources  
inside and outside China. Any foreign enterprise shall pay its income tax  
on its income derived from sources within China.  
Article 4  
The taxable income of an enterprise with foreign investment and an  
establishment or a place set up in China to engage in production or  
business operations by a foreign enterprise, shall be the amount remaining  
from its gross income in a tax year after the costs, expenses and losses  
have been deducted.  
Article 5  
The income tax on enterprises with foreign investment and the income tax  
which shall be paid by foreign enterprises on the income of their  
establishments or places set up in China to engage in production or  
business operations shall be computed on the taxable income at the rate of  
thirty percent, and local income tax shall be computed on the taxable  
income at the rate of three percent.

Article 6  
The State shall, in accordance with the industrial policies, guide the  
orientation of foreign investment and encourage the establishment of  
enterprises with foreign investment which adopt advanced technology and  
equipment and export all or greater part of their products.  
Article 7  
The income tax on enterprises with foreign investment established in  
Special Economic Zones, foreign enterprises which have establishments or  
places in Special Economic Zones engaged in production or business  
operations, and on enterprises with foreign investment of a production  
nature in Economic and Technological Development Zones, shall be levied at  
the reduced rate of fifteen percent.  
The income tax on enterprises with foreign investment of a production  
nature established in coastal economic open zones or in the old urban  
districts of cities where the Special Economic Zones or the Economic and  
Technological Development Zones are located, shall be levied at the  
reduced rate of twenty-four percent.  
The income tax on enterprises with foreign investment in coastal economic  
open zones, in the old urban districts of cities where the Special  
Economic Zones or the Economic and Technological Development Zones are  
located or in other regions defined by the State Council, within the scope  
of energy, communications, harbour, wharf or other projects encouraged by  
the State, may be levied at the reduced rate of fifteen percent. The  
specific measures shall be drawn up by the State Council.

Article 8  
Any enterprise with foreign investment of a production nature scheduled to  
operate for a period of not less than ten years shall, from the year  
beginning to make profit, be exempted from income tax in the first and  
second years and allowed a fifty percent reduction in the third to fifth  
years. However, the exemption from or reduction of income tax on  
enterprises with foreign investment engaged in the exploitation of  
resources such as petroleum, natural gas, rare metals, and precious metals  
shall be regulated separately by the State Council. Enterprises with  
foreign investment which have actually operated for a period of less than  
ten years shall repay the amount of income tax exempted or reduced  
already.  
The relevant regulations, promulgated by the State Council before the  
entry into force of this Law, which provide preferential treatment of  
exemption from or reduction of income tax on enterprises engaged in  
energy, communications, harbour, wharf and other major projects of a  
production nature for a period longer than that specified in the preceding  
paragraph, or which provide preferential treatment of exemption from or  
reduction of income tax on enterprises engaged in major projects of a non-  
production nature, shall remain applicable after this Law enters into  
force.  
Any enterprise with foreign investment which is engaged in agriculture,  
forestry or animal husbandry and any other enterprise with foreign  
investment which is established in remote underdeveloped areas may, upon  
approval by the competent department for tax affairs under the State  
Council of an application filed by the enterprise, be allowed a fifteen to  
thirty percent reduction of the amount of income tax payable for a period  
of another ten years following the expiration of the period for tax  
exemption or reduction as provided for in the preceding two paragraphs.  
After this Law enters into force, any modification to the provisions of  
the preceding three paragraphs of this Article on the exemption from or  
reduction of income tax on enterprises shall be submitted by the State  
Council to the Standing Committee of the National People's Congress for  
decision.  
Article 9  
The exemption from or reduction of local income tax on any enterprise with  
foreign investment which operates in an industry or undertakes a project  
encouraged by the State shall, in accordance with the actual situation, be  
at the discretion of the people's government of the relevant province,  
autonomous region or municipality directly under the Central Government.

Article 10  
Any foreign investor of an enterprise with foreign investment which  
reinvests its share of profit obtained from the enterprise directly into  
that enterprise by increasing its registered capital, or uses the profit  
as capital investment to establish other enterprises with foreign  
investment to operate for a period of not less than five years shall, upon  
approval by the tax authorities of an application filed by the investor,  
be refunded forty percent of the income tax already paid on the reinvested  
amount. Where regulations of the State Council provide otherwise in  
respect of preferential treatment, such provisions shall apply. If the  
investor withdraws its reinvestment before the expiration of a period of  
five years, it shall repay the refunded tax.  
Article 11  
Losses incurred in a tax year by any enterprise with foreign investment  
and by an establishment or a place set up in China by a foreign enterprise  
to engage in production or business operations may be made up by the  
income of the following tax year. Should the income of the following tax  
year be insufficient to make up for the said losses, the balance may be  
made up by its income of the further subsequent year, and so on, over a  
period not exceeding five years.  
Article 12  
Any enterprise with foreign investment shall be allowed, when filing a  
consolidated income tax return, to deduct from the amount of tax payable  
the foreign income tax already paid abroad in respect of the income  
derived from sources outside China. The deductible amount shall, however,  
not exceed the amount of income tax otherwise payable under this Law in  
respect of the income derived from sources outside China.

Article 13  
The payment or receipt of charges or fees in business transactions between  
an enterprise with foreign investment or an establishment or a place set  
up in China by a foreign enterprise to engage in production or business  
operations, and its associated enterprises, shall be made in the same  
manner as the payment or receipt of charges or fees in business  
transactions between independent enterprises. Where the payment or receipt  
of charges or fees is not made in the same manner as in business  
transactions between independent enterprises and results in a reduction of  
the taxable income, the tax authorities shall have the right to make  
reasonable adjustment.  
Article 14  
Where an enterprise with foreign investment or an establishment or a place  
set up in China by a foreign enterprise to engage in production or  
business operations is established, moves to a new site, merges with  
another enterprise, breaks up, winds up or makes a change in any of the  
main entries of registration, it shall present the relevant documents to  
and go through tax registration or a change or cancellation in  
registration with the local tax authorities after the relevant event is  
registered, or a change or cancellation in registration is made with the  
administrative agency for industry and commerce.  
Article 15  
Income tax on enterprises and local income tax shall be computed on an  
annual basis and paid in advance in quarterly instalments. Such payments  
shall be made within fifteen days from the end of each quarter and the  
final settlement shall be made within five months from the end of each tax  
year. Any excess payment shall be refunded and any deficiency shall be  
repaid.  
Article 16  
Any enterprise with foreign investment and any establishment or place set  
up in China by a foreign enterprise to engage in production or business  
operations shall file its quarterly provisional income tax return in  
respect of advance payments with the local tax authorities within the  
period for each advance payment of tax, and it shall file an annual income  
tax return together with the final accounting statements within four  
months from the end of the tax year.  
Article 17  
Any enterprise with foreign investment and any establishment or place set  
up in China by a foreign enterprise to engage in production or business  
operations shall report its financial and accounting systems to the local  
tax authorities for reference. All accounting records must be complete and  
accurate, with legitimate vouchers as the basis for entries.  
If the financial and accounting bases adopted by an enterprise with  
foreign investment and an establishment or a place set up in China by a  
foreign enterprise to engage in production or business operations  
contradict the relevant regulations on tax of the State Council, tax  
payment shall be computed in accordance with the relevant regulations on  
tax of the State Council.

Article 18  
When any enterprise with foreign investment goes into liquidation, and if  
the balance of its net assets or the balance of its remaining property  
after deduction of the enterprise's undistributed profit, various funds  
and liquidation expenses exceeds the enterprise's paid-in capital, the  
excess portion shall be liquidation income on which income tax shall be  
paid in accordance with the provisions of this Law.  
Article 19  
Any foreign enterprise which has no establishment or place in China but  
derives profit, interest, rental, royalty and other income from sources in  
China, or though it has an establishment or a place in China, the said  
income is not effectively connected with such establishment or place,  
shall pay an income tax of twenty percent on such income. For the payment  
of income tax in accordance with the provisions of the preceding  
paragraph, the income beneficiary shall be the taxpayer and the payer  
shall be the withholding agent. The tax shall be withheld from the amount  
of each payment by the payer. The withholding agent shall, within five  
days, turn the amount of taxes withheld on each payment over to the State  
Treasury and submit a withholding income tax return to the local tax  
authorities.  
Income tax shall be exempted or reduced on the following income:  
(1) the profit derived by a foreign investor from an enterprise with  
foreign investment shall be exempted from income tax;  
(2) income from interest on loans made to the Chinese government or  
Chinese State banks by international financial organizations shall be  
exempted from income tax;  
(3) income from interest on loans made at a preferential interest rate to  
Chinese State banks by foreign banks shall be exempted from income tax;  
and  
(4) income tax of the royalty received for the supply of technical know-  
how in scientific research, exploitation of energy resources, development  
of the communications industries, agricultural, forestry and animal  
husbandry production, and the development of important technologies may,  
upon approval by the competent department for tax affairs under the State  
Council, be levied at the reduced rate of ten percent. Where the  
technology supplied is advanced or the terms are preferential, exemption  
from income tax may be allowed.  
Apart from the aforesaid provisions of this Article, if preferential  
treatment in respect of reduction of or exemption from income tax on  
profit, interest, rental, royalty and other income is required, it shall  
be regulated by the State Council.

Article 20  
The tax authorities shall have the right to inspect the financial,  
accounting and tax affairs of enterprises with foreign investment and  
establishments or places set up in China by foreign enterprises to engage  
in production or business operations, and have the right to inspect tax  
withholding of the withholding agent and its payment of the withheld tax  
into the State Treasury. The entities and the withholding agents being so  
inspected must report the facts and provide relevant information. They may  
not refuse to report or conceal any facts.  
When making an inspection, the tax officials shall produce their identity  
documents and be responsible for confidentiality.  
Article 21  
Income tax payable according to this Law shall be computed in terms of  
Renminbi (RMB). Income in foreign currency shall be converted into  
Renminbi according to the exchange rate quoted by the State exchange  
control authorities for purposes of tax payment.  
Article 22  
If any taxpayer fails to pay tax within the prescribed time limit, or if  
the withholding agent fails to turn over the tax withheld within the  
prescribed time limit, the tax authorities shall, in addition to setting a  
new time limit for tax payment, impose a surcharge for overdue payment,  
equal to 0.2 percent of the overdue tax for each day in arrears, starting  
from the first day the payment becomes overdue.  
Article 23  
The tax authorities shall set a new time limit for registration or  
submission of documents and may impose a fine of five thousand yuan or  
less on any taxpayer or withholding agent which fails to go through tax  
registration or make a change or cancellation in registration with the tax  
authorities within the prescribed time limit, or fails to submit income  
tax return, final accounting statements or withholding income tax return  
to the tax authorities within the prescribed time limit, or fails to  
report its financial and accounting systems to the tax authorities for  
reference. Where the tax authorities have set a new time limit for  
registration or submission of documents, they shall impose a fine of ten  
thousand yuan or less on the taxpayer or withholding agent which again  
fails to meet the time limit for going through registration or making a  
change in registration with the tax authorities, or for submitting income  
tax return, final accounting statements or withholding income tax return  
to the tax authorities. Where the circumstances are serious, the legal  
representative and the person directly responsible shall be investigated  
for criminal responsibility by applying mutatis mutandis the provisions of  
Article 121 of the Criminal Law.

Article 24  
Where the withholding agent fails to fulfil its obligation to withhold tax  
as provided in this Law, and does not withhold or withholds an amount less  
than that should have been withheld, the tax authorities shall set a time  
limit for the payment of the amount of tax that should have been withheld,  
and may impose a fine up to but not exceeding one hundred percent of the  
amount of tax that should have been withheld. Where the withholding agent  
fails to turn the tax withheld over to the State Treasury within the  
prescribed time limit, the tax authorities shall set a time limit for  
turning over the taxes and may impose a fine of five thousand yuan or less  
on the withholding agent; if the withholding agent fails to meet the time  
limit again, the tax authorities shall pursue the taxes according to law  
and may impose a fine of ten thousand yuan or less on the withholding  
agent. If the circumstances are serious, the legal representative and the  
person directly responsible shall be investigated for criminal  
responsibility by applying mutatis mutandis the provisions of Article 121  
of the Criminal Law.  
Article 25  
Where any person evades tax by deception or concealment or fails to pay  
tax within the time limit prescribed by this Law and, after the tax  
authorities pursued the payment of tax, fails again to pay it within the  
prescribed time limit, the tax authorities shall, in addition to  
recovering the tax which should have been paid, impose a fine up to but  
not exceeding five hundred percent of the amount of tax which should have  
been paid. Where the circumstances are serious, the legal representative  
and the person directly responsible shall be investigated for criminal  
responsibility in accordance with the provisions of Article 121 of the  
Criminal Law.

Article 26  
Any enterprise with foreign investment, foreign enterprise or withholding  
agent, in case of a dispute with the tax authorities on payment of tax,  
must pay tax according to the relevant regulations first. Thereafter, the  
taxpayer or withholding agent may, within sixty days from the date of  
receipt of the tax payment certificate issued by the tax authorities,  
apply to the tax authorities at the next higher level for reconsideration.  
The higher tax authorities shall make a decision within sixty days after  
receipt of the application for reconsideration. If the taxpayer or  
withholding agent is not satisfied with the decision, it may institute  
legal proceedings in the people's court within fifteen days from the date  
of receipt of the notification on decision made after reconsideration.  
If the party concerned is not satisfied with the decision on punishment by  
the tax authorities, it may, within fifteen days from the date of receipt  
of the notification on punishment, apply for reconsideration to the tax  
authorities at the next higher level than that which made the decision on  
punishment. Where the party is not satisfied with the decision made after  
reconsideration, it may institute legal proceedings in the people's court  
within fifteen days from the date of receipt of the decision made after  
reconsideration. The party concerned may, however, directly institute  
legal proceedings in the people's court within fifteen days from the date  
of receipt of the notification on punishment. If the party concerned  
neither applies for reconsideration to the higher tax authorities, nor  
institutes legal proceedings in the people's court within the time limit,  
nor complies with the decision on punishment, the tax authorities which  
made the decision on punishment may apply to the people's court for  
compulsory execution.  
Article 27  
Where any enterprise with foreign investment which was established before  
the promulgation of this Law would, in accordance with the provisions of  
this Law, otherwise be subject to higher tax rates or enjoy less  
preferential treatment of tax exemption or reduction than before the entry  
into force of this Law, in respect to such enterprise, within its approved  
period of operation, the law and relevant regulations of the State Council  
in effect before the entry into force of this Law shall apply. If any such  
enterprise has no approved period of operation, the law and relevant  
regulations of the State Council in effect before the entry into force of  
this Law shall apply within the period prescribed by the State Council.  
Specific measures shall be drawn up by the State Council.

Article 28  
Where the provisions of a tax agreement concluded between the government  
of the People's Republic of China and a foreign government are different  
from the provisions of this Law, the provisions of the agreement shall  
prevail.  
Article 29  
Rules for implementation shall be formulated by the State Council in  
accordance with this Law.  
Article 30  
This Law shall enter into force on July 1, 1991. The Income Tax Law of the  
People's Republic of China for Chinese-Foreign Equity Joint Ventures and  
the Income Tax Law of the People's Republic of China for Foreign  
Enterprises shall be annulled as of the same date.  

杨春宝一级律师简介

杨春宝一级律师,大成上海高级合伙人、资本市场部主任、国资基金研究中心主任,大成中国区私募基金专业带头人、科技与文化法律研究中心联合牵头人。执业30余年,长期从事私募基金、投融资、并购重组法律服务,尤其对对赌研究颇深且具有非常丰富的实战经验,并专注于金融机构股权投资业务。2004年起多次入选The Legal 500"私募基金"和"公司与商业"等境内外各类律师榜单,代理的中国法院首例适用外国法律审理外国公司的董事损害小股东权益纠纷案入选上海高院发布的《上海法院域外法查明典型案例》和威科先行"要案头条"。入选上海涉外法律人才库、上海市司法局鼎新法治人才库、上海国有企业改制法律顾问团,具有上市公司独立董事任职资格,系多家知名高校的兼职教授或兼职研究生导师及上海市商务委跨国经营人才培训班讲师。出版《私募股权投资基金风险防控操作实务》等16本投融资法律专著。了解更多

常见法律问题

外商投资企业和外国企业在中国的纳税义务范围有何区别?

根据本法规定,外商投资企业包括中外合资经营企业、中外合作经营企业和外资企业,其总机构设在中国境内的,应就其来源于中国境内、境外的全部所得缴纳所得税,属于居民纳税人。外国企业则指在中国境内设立机构、场所并从事生产经营,或者虽未设立机构、场所但取得来源于中国境内所得的外国公司、企业和其他经济组织,仅就来源于中国境内的所得纳税,属于非居民纳税人。n本法明确,外国企业在中国境内设立机构场所的,其机构场所的所得需纳税;未设立机构场所但有来源所得的,实行源泉扣缴。举例而言,一家中外合资企业在中国注册,其海外分公司利润应并入中国总机构汇总纳税;而一家美国公司在中国设立代表处,仅代表处取得的中国来源所得需在中国纳税。这种区分决定企业全球所得的申报义务范围。n实务中,企业应首先判断自身法律形式与注册地,确认居民或非居民身份。非居民企业需关注是否构成常设机构,避免因机构认定引发额外纳税义务。同时,居民企业境外所得可依法抵免境外已纳税款,但需履行申报程序。建议企业建立跨境税务合规机制,准确划分境内外所得,防范涉税风险。

生产性外商投资企业享受定期减免税优惠需满足哪些条件?

生产性外商投资企业是指从事生产、制造、加工等生产经营活动的企业,根据本法,凡经营期在十年以上的生产性外商投资企业,从开始获利的年度起,第一年和第二年免征企业所得税,第三年至第五年减半征收,即俗称的‘两免三减半’。但从事石油、天然气、稀有金属、贵金属等资源开采项目的外商投资企业,其减免税办法由国务院另行规定。n本法同时规定,企业实际经营期不足十年的,应当补缴已免征、减征的企业所得税税款。此外,从事农业、林业、牧业的外商投资企业和设在经济不发达的边远地区的外商投资企业,在减免期满后,经企业申请、国务院税务主管部门批准,可以在以后十年内继续按应纳税额减征15%至30%。这些优惠体现了国家产业政策导向。n实务操作中,企业应准确界定‘开始获利年度’,通常指弥补以前年度亏损后第一个有应纳税所得额的年度。企业要合理规划经营期限,避免因提前终止经营而补缴税款。同时需区分生产性与非生产性项目,非生产性企业不适用两免三减半。申请优惠应按规定报送资料,包括项目性质说明、经营期证明等,并关注后续监管要求。

境外所得已缴纳的外国税款如何在中国抵免?

本法规定,外商投资企业来源于中国境外的所得,已在境外缴纳的所得税税款,准予在汇总申报时从其应纳税额中扣除,但扣除额不得超过其境外所得依照中国税法规定计算的应纳税额,即实行限额抵免。抵免限额按境外所得乘以中国适用税率计算,境外已缴税款超过限额的部分不得扣除,也不得结转以后年度。n例如,某外商投资企业在境外设立分支机构,境外所得在当地按15%缴纳所得税,回国后按中国税率30%计算抵免限额,则境外已缴税款可全部抵免;若当地税率高达40%,则超出30%限额的部分不能抵免。本法明确这一规则旨在避免双重征税,同时维护中国税收管辖权。n实务中,企业应分国别计算抵免限额,不能将一国超限抵免额与另一国不足额调剂。申报时需提供境外税务机关出具的完税证明,并换算为人民币。对于境外享受税收优惠而未实际缴纳的税款,是否视同已缴纳税款抵免,需依据双边税收协定的饶让条款确定。企业应妥善保管境外纳税凭证,按期申报,避免因资料不全或计算错误导致抵免被调整。

以上内容仅供参考,不构成法律意见。如需专业法律服务,请联系杨春宝一级律师:chambers.yang@dentons.cn

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