Preferential Policies
2014年05月12日 14:23

Changzhou provides various incentives for investors in selected sectors

•Incentives available for investors in Changzhou's five pillar industries.

• Additional incentives for outsourcing services, including Information Technology Outsourcing (ITO), Business Process Outsourcing (BPO), industrial design and animation production outsourcing.

—Changzhou has four provincial pilot areas for service outsourcing: Changzhou Software Park, National (Changzhou) Animation Base, Changzhou Science and Education Town and Changzhou Zhonglou Economic Development Zone.

Development zones provide specific incentives

• National Hi-Tech District (CND) offers favorable polices for investors, including:

—newly established industrial enterprises with Value-added Tax payments of RMB 2 million and above that contribute to fiscal revenue of the CND, are eligible to receive a subsidy for three years calculated at 40 percent of the locally retained portion of fiscal revenue contributed through the enterprises' Value-added Tax payments. The calculation basis for Hi-Tech enterprises is increased to 50 percent. The subsidy is limited to RMB 2 million.

—for a newly approved national or provincial R&D centre invested by foreign investors, a subsidy of RMB 500,000 or 300,000 will be granted, respectively.

• Jiangsu Wujin Hi-Tech Industrial Zone (WIZ) has implemented incentive policies for foreign invested enterprises (FIEs) in order to attract investors to the Zone, including:

—recognized provincial Hi-Tech enterprises are eligible to receive a 50 percent subsidy of the locally retained portion of Value-added Tax, during the first two years upon recognition. From the third to the fifth year, Value-added Tax paid for the preceding year will be used as the calculation basis for the current year, and a subsidy calculated as 50 percent of the locally retained portion of Value-added Tax payments exceeding the calculation basis will be granted. For recognized national Hi-Tech enterprises, the subsidy period can be extended for two more years.

—upon approval, new industrial enterprises are eligible to enjoy a five-year tax holiday (i.e. a two-year exemption and three-year 50 percent reduction of the locally retained portion of the Corporate Income Tax), starting from their first profit-making year.

—expatriates are entitled to receive refunds calculated at 75 percent of the locally retained portion of their Individual Income Tax for three years.

—construction-related charges are exempted for new industrial enterprises with a total investment exceeding RMB 50 million, or for new projects launched by existing industrial enterprises and foreign invested enterprises (FIEs).

—new enterprises are eligible to enjoy a five-year holiday for some administrative charges (two-year exemption and three-year 50 percent reduction).

• A number of other industry zones based in Changzhou also offer investment incentives and policies.

 Opening & Signing Ceremony of Foreign Investment Projects

 

Sources: (1) Changzhou Municipal Bureau of Commerce

                 (2) Changzhou National Hi-Tech District,

                       www.czxd.gov.cn

                (3) Jiangsu Wujin Hi-Tech Industrial Zone,

                      www.wiz.org.cn

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