Hainan Free Trade Port issued preferential policies to encourage industrial enterprises to reduce corporate income tax at 15%
A few days ago, the Hainan Provincial Taxation Bureau of the State Administration of Taxation issued an announcement clarifying the relevant provisions of the Hainan Free Trade Port’s preferential corporate income tax policy. Among them, encouraged industrial enterprises registered in Hainan Free Trade Port and substantively operating are subject to corporate income tax at a reduced tax rate of 15%. In addition, tourism, modern service industry, and high-tech industry enterprises' newly-increased foreign direct investment incomes are exempted from corporate income tax policy, which can be enjoyed in accordance with regulations during the annual tax declaration.
The announcement will be implemented from January 1, 2020 to December 31, 2024. Those who do not enjoy the benefits in time before the issuance of the relevant documents can enjoy them at the time of the prepayment declaration in the following months (quarters) or in 2020 Enjoy preferential benefits when finalizing settlement.