A foreign-invested enterprise is generally taxed like a domestic one: a 25% corporate income tax (CIT) rate, with 15% for high-tech and 20% (on a reduced base) for small low-profit firms.外商投资企业原则上与内资同税：企业所得税基准税率25%，高新技术企业减按15%，小型微利企业减计所得后按20%。 The Value-Added Tax Law took effect on 1 January … The Main Taxes on a Foreign-Invested Enterprise in China and the 2026 VAT Law in PracticeRead more
税种 / Tax Types
Withholding tax on outbound payments
The withholding tax (WHT) statutory rate is 10% of the gross amount on dividends, interest, royalties and rent — the passive, China-sourced income of a non-resident under EITL Article 3(3). 预提所得税法定税率为全额的 10%，适用对象为股息、利息、特许权使用费与租金——即非居民依《企业所得税法》第三条第三款的被动性、中国来源所得。 The taxable base is the full amount received … Withholding tax on outbound paymentsRead more
IC and software tax breaks plus VAT-exempt technology transfer
Technology transfer, development and related consulting services are VAT-exempt from 1 January 2026 to 31 December 2027. 技术转让、技术开发及相关咨询服务在2026年1月1日至2027年12月31日期间免征增值税。 Encouraged integrated-circuit and software firms enjoy reduced or exempted corporate income tax. 国家鼓励的集成电路与软件企业享受企业所得税减免。 Key software enterprises are taxed at 10%, while high-tech … IC and software tax breaks plus VAT-exempt technology transferRead more
Corporate income tax at a glance
China’s standard corporate income tax (EIT) rate is a flat 25%, unified for domestic and foreign-invested enterprises since 1 January 2008. 中国企业所得税标准税率为统一的 25%，自 2008 年 1 月 1 日起对内资与外商投资企业统一适用。 Resident enterprises are taxed on worldwide income, while non-resident enterprises are … Corporate income tax at a glanceRead more
VAT reform: what foreign firms should note
China’s VAT became statutory law on 1 January 2026 (President Order No. 41), codifying—but not changing—the 13%/9%/6% rates and the 3% small-scale levy rate. 中国增值税于 2026 年 1 月 1 日上升为法律（主席令第四十一号），将 13%/9%/6% 税率与 3% 小规模征收率成文化但未改变。 Retained tax rebates (留抵退税) are … VAT reform: what foreign firms should noteRead more
Small-scale taxpayer VAT relief
A small-scale taxpayer is one whose annual VAT taxable sales do not exceed RMB 5 million; crossing it generally forces general-taxpayer registration, which cannot be reversed. 小规模纳税人指年增值税应税销售额不超过 500 万元的纳税人；一旦跨线通常须登记为一般纳税人且不可逆转。 Monthly sales of RMB 100,000 or less are VAT-exempt; the relief … Small-scale taxpayer VAT reliefRead more