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Policy to encourage foreign investment in Hubei

( cnhubei.com )

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Encouragement given to foreign-invested enterprises to implement technological development and innovation as well as to enlarge the purchase of homemade equipment.

·Foreign-invested enterprises and research centers will be exempt from import tariff and linking tax of self-application equipment, supporting technology, capital, auxiliaries, replacement parts within the total amount of investment

·The increment value tax of homemade equipment will be fully returned and the income tax of the enterprise will correspondingly cancelled according to relevant regulations provided that the homemade equipment purchased by foreign-invested enterprises are within the total investment amount and are listed in the tax-free directory

·The income of technological transfer of foreign-invested enterprises will be exempt from transaction tax

·The income tax of foreign-invested enterprise will be offset according to 50% of the real amount of technological development that is over 10% higher than last year

Improvement of the management and service of foreign-invested enterprises

·Foreign-invested enterprises that live up to certain terms can be listed in the exchange market of A stock and B stock

·The operation scope of investing agency established by multinational corporations can be enlarged

·The procedures for examination and approval of establishing foreign- invested enterprises will be simplified, namely, all the foreign- invested enterprises not involved in the projects of comprehensive encouragement will be examined and approved by provincial government

·The value appraisal of imported equipment in foreign-invested enterprises will be cancelled

·The policies, regulations and rules against the absorption of foreign investment will be eliminated or adjusted

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