Core Viewpoint - The article discusses the tax implications for shareholders of non-listed companies in China regarding the receipt of dividends, stating that such income is exempt from corporate income tax under specific conditions outlined in the Corporate Income Tax Law of the People's Republic of China [1]. Summary by Sections Tax Exemption for Dividends - Shareholders of resident enterprises receiving dividends from other resident enterprises do not need to pay corporate income tax on these dividends, provided they meet the necessary conditions [1][2]. Definition of Equity Investment Income - Equity investment income refers to the dividends and bonuses received by resident enterprises from their direct investments in other resident enterprises. However, income from shares held for less than 12 months is excluded from this definition [2]. Income Recognition Timing - The income from equity investments is recognized based on the date when the shareholder meeting or general meeting of the invested enterprise decides on profit distribution or share conversion [4]. Tax Filing Process - For quarterly prepayment, taxpayers should select "exempt income, reduced income, and increased deduction" in the corporate income tax prepayment declaration form and indicate the relevant exempt income [4]. - During annual tax filing, taxpayers must report the exempt investment income in the corporate income tax annual declaration form and the detailed table for eligible equity investment income [4]. Tax Declaration Forms - The article provides a detailed breakdown of the corporate income tax annual declaration form, including sections for reporting various types of income, expenses, and tax adjustments [5].

Core Viewpoint - The article provides a detailed explanation of how individuals can check their tax payments and the calculation method for personal income tax based on cumulative withholding tax principles [3][4]. Group 1: Tax Payment Inquiry - Individuals can check their tax payment status by logging into the Personal Income Tax App, selecting the income tax details for the corresponding year, and reviewing the total income and tax amounts declared [3]. - The app allows users to view detailed information about their income, tax obligations, and deductions for each month [3]. Group 2: Tax Calculation Method - The cumulative withholding method is used to calculate the personal income tax, where the taxable income is determined by subtracting various deductions from the total income [4]. - The cumulative deductible amount includes a standard deduction of 5,000 yuan per month, along with other specific deductions [4]. - The tax calculation is based on the cumulative income up to the current month, taking into account all applicable deductions and exemptions [4]. Group 3: Policy References - The article references specific announcements from the State Administration of Taxation regarding the adjustment of personal income tax withholding methods [4]. - It highlights the importance of understanding the cumulative withholding method as a key aspect of personal income tax management [4].

Core Viewpoint - The article discusses various tax-related inquiries and clarifications regarding corporate income tax, including deductions for employee training, housing, and donations, as well as the treatment of unrecorded assets [4]. Group 1: Corporate Income Tax Queries - Companies must determine if they need to pay corporate income tax for unrecorded assets, such as five ice cream freezers found in inventory [4]. - Donations made by companies to charitable organizations, such as providing materials to nursing homes, can be deducted from corporate income tax [4]. - Expenses incurred for employee training can be deducted from corporate income tax [4]. - Costs associated with renting housing for employees may also be deductible, although the extent of the deduction is not specified [4]. - Commissions paid to intermediaries for product promotion are eligible for deduction from corporate income tax [4]. Group 2: Personal Income Tax Policies - The announcement from the Ministry of Finance and the State Taxation Administration states that childcare subsidies provided under the childcare subsidy system are exempt from personal income tax [8]. - An information-sharing mechanism will be established between health, finance, and tax departments to facilitate the tax exemption declaration for eligible individuals [8]. - This policy will take effect from January 1, 2025 [8].

Group 1 - The article discusses the tax obligations of companies with branches in different regions, specifically regarding corporate income tax calculations and payments [1][3][4] - It clarifies that branches without legal person status must be included in the parent company's tax calculations and cannot independently enjoy tax reduction policies for small and micro enterprises [3][4] - The article outlines specific conditions under which secondary branches do not need to pay corporate income tax locally, including those recognized as small and micro enterprises or newly established branches [6] Group 2 - It explains that branches located in tax incentive areas, such as those in the western development regions, can benefit from reduced corporate income tax rates, provided they meet certain revenue criteria [4] - The article emphasizes the importance of aggregating the total employment, assets, and taxable income of the parent company and its branches to determine eligibility for small and micro enterprise status [3][4] - It also notes that branches engaged in auxiliary functions and not generating local tax revenue may be exempt from local corporate income tax payments [6]

Group 1 - The core viewpoint of the article highlights the growth rates of various domestic taxes in China for the first seven months of the year, indicating a positive trend in tax revenue collection [1] - Value-added tax increased by 3% year-on-year, with the growth rate improving by 0.2 percentage points compared to the first half of the year [1] - Domestic consumption tax rose by 2.1%, with an increase of 0.4 percentage points from the previous half-year [1] - Personal income tax saw a significant increase of 8.8%, with the growth rate up by 0.8 percentage points compared to the first half of the year [1] - Corporate income tax experienced a decline of 0.4%, although the rate of decline narrowed by 1.5 percentage points from the first half of the year [1]

Group 1 - The tax basis for purchased fixed assets includes the purchase price, related taxes, and other expenses directly attributable to making the asset ready for use [3] - The tax basis for self-constructed fixed assets is based on expenditures incurred before the completion settlement [3] - For finance-leased fixed assets, the tax basis is determined by the total payments specified in the lease contract and related costs incurred during the contract signing [3] Group 2 - Depreciation for fixed assets should start from the month following their use and stop from the month following their cessation of use [4] - The minimum depreciation period for buildings is 20 years, while for machinery and equipment, it is 10 years [4] - Certain fixed assets, such as unused assets and those leased under operating leases, cannot be depreciated for tax purposes [4] Group 3 - Expenditures for the reconstruction of fixed assets that change the structure or extend the useful life are considered long-term deferred expenses [5] - Major repair expenditures that exceed 50% of the tax basis of the fixed asset and extend its useful life by more than 2 years should be amortized over the remaining useful life of the asset [5] - Other expenditures that should be treated as long-term deferred expenses must be amortized over a minimum of 3 years [5] Group 4 - The tax basis for purchased intangible assets includes the purchase price, related taxes, and other expenses necessary to make the asset ready for use [6] - Intangible assets are amortized using the straight-line method starting from the month they are put into use [6] - The minimum amortization period for intangible assets is 10 years, unless specified otherwise by law or contract [6] Group 5 - The tax basis for purchased biological assets includes the purchase price and related taxes [7] - Depreciation for biological assets should start from the month following their use and stop from the month following their cessation of use [7] - The minimum depreciation period for timber biological assets is 10 years, while for livestock, it is 3 years [7] Group 6 - Investment assets are classified as assets formed from equity and debt investments [8] - The cost of investment assets acquired through cash payments is based on the purchase price [8] - The cost of investment assets obtained through non-cash means is based on the fair value of the asset and related taxes [8] Group 7 - The cost of inventory obtained through cash payments includes the purchase price and related taxes [9]

Core Viewpoint - The article focuses on providing guidance for individual businesses in Ningbo regarding tax policies and procedures, specifically addressing common questions related to value-added tax (VAT) and individual income tax [3]. Group 1: Tax Types and Filing - Individual businesses need to be aware of the main types of taxes they must declare, including VAT and individual income tax, along with their respective filing deadlines [6]. - There are specific consequences for individual businesses that fail to file their tax declarations on time [6]. - The article outlines various methods for calculating individual income tax on business income [6]. Group 2: VAT Registration and Invoicing - Individual businesses can apply to become general VAT taxpayers and are eligible to issue special VAT invoices [6]. - The process for individual businesses to apply for small-scale taxpayer status is also detailed [6]. - The article discusses the use of electronic invoices by individual businesses, including how to apply for and issue them [6]. Group 3: Tax Benefits and Exemptions - Current preferential tax policies available to individual businesses are highlighted, including those aimed at specific key groups [6]. - The article emphasizes the importance of understanding these policies to maximize tax benefits [6]. Group 4: Tax Registration and Cancellation - After obtaining a business license, individual businesses are required to register with the tax authorities [6]. - The process for tax cancellation when an individual business ceases operations is explained, including the need for tax deregistration [6].

Core Viewpoint - The article discusses the implementation of environmental protection tax on construction dust, detailing the calculation methods, tax obligations, and the impact of construction activities on dust emissions [4][5][6]. Tax Obligations - The construction dust environmental protection tax is calculated monthly and reported quarterly, with tax obligations starting from the actual commencement date of the project and ending upon completion [4]. - The tax amount is determined based on the construction area, dust emission coefficients, and any applicable reduction ratios based on regulatory evaluations [5][6]. Calculation Method - The formula for calculating dust emissions is based on the construction area (in square meters), the dust emission coefficient (in kilograms per square meter), and a reduction ratio that varies based on the project's compliance with dust pollution control measures [5][6]. - Specific coefficients for different types of construction projects are provided, such as 0.269 for residential buildings and 0.404 for municipal infrastructure [5]. Case Study - A case study illustrates the tax calculation for a real estate development project, showing how to determine the taxable amount based on the project's area, construction days, and evaluation results [6]. - For example, if a project has a construction area of 10,000 square meters and falls under a second-class evaluation with a 30% reduction, the tax calculation would reflect these parameters [6].

Core Points - The South Korean government, led by President Lee Jae-myung, unexpectedly introduced a comprehensive tax increase plan just two months into his administration, which includes significant reductions in capital gains tax thresholds, increases in securities transaction tax, and a rise in the maximum corporate income tax rate [1][2] - The announcement has sparked strong public opposition, with a petition to withdraw the capital gains tax plan gathering over 120,000 signatures, far exceeding the 50,000 needed to submit the proposal for parliamentary review [1][3] - The tax reform is projected to increase the annual tax burden on households and businesses by 8.2 trillion KRW (approximately 5.9 billion USD) over the next five years, marking the largest increase in recent years [3] Tax Plan Details - The proposal aims to lower the capital gains tax threshold from the current 5 billion KRW to 1 billion KRW (approximately 714,000 USD) [2] - The securities transaction tax rate will rise from 0.15% to 0.2%, and the maximum corporate income tax rate will increase from 24% to 25%, reversing the previous administration's tax cuts [2] - New rules for dividend income tax will impose a 20% tax on dividend income between 20 million and 300 million KRW, with a 35% rate on amounts exceeding 300 million KRW [2] Market Reaction - The tax increase announcement led to a significant drop in the KOSPI index, which fell by 3.9%, marking the largest single-day decline since April [1][2] - Investor confidence has been severely impacted, with market experts expressing disappointment over the sudden nature of the tax proposals, especially during a period of structural reform in the South Korean capital market [2][3] - Concerns have been raised that the higher capital gains tax could lead to long-term undervaluation of the stock market, as major shareholders might sell off stocks at year-end to avoid taxes, potentially destabilizing the market [2][3] Political Implications - The stark contrast between the government's current tax policies and President Lee's campaign promises, which included a goal of pushing the KOSPI index to 5,000 points, has led to a crisis of confidence among investors [4] - The government's need to find funding sources for consumer stimulus policies due to declining tax revenues from economic slowdown has prompted these tax reforms, which may further alienate retail investors and weaken corporate competitiveness [3][4]

Group 1 - Over 120,000 people in South Korea have signed a petition to halt the recently announced capital gains tax increase plan, surpassing the required 50,000 signatures for parliamentary review [1] - The South Korean stock market experienced a significant decline of 3.9%, marking the largest drop since April of this year [1] Group 2 - The tax increase plan announced by the South Korean Ministry of Finance includes a substantial reduction of the capital gains tax threshold from 5 billion KRW to 1 billion KRW (approximately 714,000 USD), an increase in the securities transaction tax rate from 0.15% to 0.2%, and a rise in the maximum corporate income tax rate from 24% to 25% [2] - New rules for dividend income tax have been introduced, imposing a 20% tax on dividend income between 20 million and 300 million KRW, and a 35% tax on amounts exceeding 300 million KRW [2] Group 3 - The unexpected tax increase plan has severely impacted investor confidence, with market consensus initially expecting only a moderate rise in corporate tax rates and new dividend taxation proposals [3] - The proposal has faced strong opposition, particularly from retail investors, with over 30,000 signatures against the capital gains tax proposal by last Friday afternoon, indicating significant discontent among the investor community [3] - Warnings from investors and business groups suggest that this move could alienate a large and influential retail investor base and potentially weaken the competitiveness of South Korean companies, casting a shadow over the prospects for economic reform [3]