Foreign Enterprise in PRC evade tax for RMB30 billion, repaid RMB3 billion

International Finance News
24 January 2006

According to the information released by the State Administrative of Taxation (SAT), every year, SAT investigates around 230 enterprises for anti-tax evasion purpose. In 2004, the loss reported by foreign invested enterprise and foreign enterprise located in PRC was around 51%-55%, based on this, it is estimated that the tax evaded by foreign enterprises located in PRC are more than RMB30 billion. With regards to this, SAT has requested related enterprises to revise the taxable profit which amount to more than RMB20 billion and repaid RMB3 billion to replace the loss of around RMB8 billion.

據國家稅務總局透露，每年總局都會對約230戶企業進行反避稅調查。其中04年在華外國企業和外商投資企業虧損面達51%-55%，據此估計，在華外國企業的避稅額超過300億元。國家稅務總局已經要求相關企業累積調增應納稅所得額200多億，調整補稅30多億，彌補虧損80多億元。