Successful tax system reform in China

30.07.2012 China is making large steps toward the International economic community; it was noted by the IMF in its latest report. Profit Tax for the enterprises with foreign investments (which ranges from 15% to 25% in different areas of Chine) was differentiated and now depends on the profitability of the enterprise.
The positive forecasts for China force the authorities to strengthen the position of the largest Asian economic and financial center by the amendments to existing tax legislation. Due to such tax exemption for foreign investors China hopes to attract capital into the country.
The IMF also stresses that the Global recession almost didn’t touch China, perhaps due to the fact that the Chinese government realizes that it is necessary not only to attract capital, but also to reform the social sphere, where the great success was noted in the past decade.
Adapted from:  http://www.tax-news.com/news/Chinese_Efforts_To_Reshape_Tax_System_Lauded____56527.html 

Expert’s opinion

«China is ahead of the rest»! Really, the crisis didn’t touch this Asian country. Being so far away from the European Union, the Chinese are aware of a stable economy inland.
That's why the country focuses on the development in the country (not out!): the welfare of its citizens and the maintenance of social sphere to the proper level.
We must pay tribute to the country, supplying equipment, food and consumer goods all over the world and do not forget yourself! "

Lomakina Irina ( the director of Moscow office of Honest & Bright)