KMT Legislative Yuan Group was held in 108 years March 12 press conference, on the same date the Soviet Union Finance Minister to attend the 11th Legislative Yuan Finance Committee "to restart the free economic demonstration zone" content project submit their comments, the Ministry of Finance for the relevant argument to clarify the following:
First, Providing income tax concessions should avoid the formation of harmful rent and tax practices. In
order to attract enterprises to enter the port area to fully utilize port facilities and promote the development of related industries in the country, the former foreign trade owners engaged in the free port area under the provisions of Article 29 of the Free Trade Port Area Regulations. For goods storage or simple processing, 100% for export and 10% for domestic sales are exempt from income tax. However, this measure will cause differential treatment for domestic and foreign enterprises, domestic and foreign markets, and may be a harmful taxation practice after being examined by the EU, in order to avoid being included in taxation. The list of cooperating countries was subject to relevant sanctions and affected the competitiveness of the country. China's commitment to amend it was amended. The amendments to the pre-opening provisions were passed on the third reading of the Legislative Yuan on December 28, 2007, and implemented on January 18, 108. Eligibility for profit-making business in the port area to engage in tax exemption regulations, regardless of the sale of goods Domestic or overseas, both are exempt from income tax, in line with EU inspection standards, and do not constitute harmful rent and tax practices. To domestic science parks, industrial zones, etc., the current law does not provide income tax concessions for these areas.
In recent years, international organizations have reviewed the relevant state tax incentives. The attitude of countries using tax-using tools has become more conservative. The relevant tax incentives provided by China should conform to international inspection standards to avoid the formation of harmful rent-taxing practices. If the free trade special economic zone provides income tax concessions for foreign companies or only for export sales, it may constitute a harmful taxation convention. If it is included in the list of tax non-cooperation by international organizations, it will affect the competitiveness of the country.
2. Tax exemption, business tax and excise tax for scientific parks and free port areas are administrative simplification measures.
(1) Imported parts are based on the
approval of the goods entering the competent authority of the destination and the special area supervised by the customs (hereinafter referred to as the bonded area). For the purpose of export, the goods entering the zone are in a state of taxation. In order to reduce the administrative burden of tax refund for re-export of taxation and re-export, and to regulate the goods entering the bonded zone, there is no need to pay import duties, business tax, goods tax and other related taxes and fees; However, if the goods are exported to the taxation area, the relevant import taxes and fees should still be paid.
(2) Export part
Based on the principle of taxation of consumption places and the promotion of foreign trade, the applicable business tax rate for goods for export or similar export is zero. In order to comply with international regulations, ? regulate the export of goods, and sell goods for sale in the bonded area, regardless of the seller of the goods, the taxable area or the business of the bonded area, the applicable business tax rate is zero; the goods tax is taxable goods and services Foreign countries are also exempt from excise taxes.
3. At present, the special taxation measures for China's overseas return funds are in accordance with the international norms of money laundering prevention. The national implementation of the special zone is not limited
to the investment needs of Taiwanese overseas funds, and the Ministry of Finance and the relevant ministries will provide overseas return. Special taxation measures for funds, applicable to individuals and for-profit businesses, are not applicable to specific regions, and will follow international standards for money laundering prevention and control, and will not affect the results of the assessment of the Asia-Pacific Anti-Money Laundering Organization; funds should be directed to substantial investment, effective Promote economic development to increase employment, and avoid the three major principles of taxation fairness disputes among domestic manufacturers, and carefully consider the relevant taxation matters.
Fourth, the electronic seals can not completely solve the problem of cargo control and control
according to the electronic seals used during the transportation of goods. However, when the goods are stored in these free trade special economic zones, the control of stored goods is still involved, and the customs still has to go through the on-site inspection. In order to grasp the flow of goods in and out, the Customs has checked the demand for manpower and increased, and it faces great challenges.
V. The control of cargo flow control is not easy to violate the regulatory transfer rate.
Since the Sino-US trade conflict last year, the Customs has strengthened the implementation of the relevant cargo control measures in the free trade port area and the relevant bonded area. However, it has still found that several goods have been falsely produced. Send it to the competent authority for compliance. In the future, if the SAR is set up with reference to the concept of a free trade special economic zone, if the SAR industry increases, it will be difficult to control the flow of goods, and the probability of such illegal transshipment will increase substantially.
The concept of a free trade special economic zone or other special economic zones is to loosen the relevant laws and regulations and promote the flow of people, logistics and financial flows. Considering that China has established a free trade port area and the relevant laws and regulations and operational mechanisms are perfect, it is recommended to continue to promote the development of a diversified business model and create high value-added industries to promote economic development.
Source: Ministry of Finance