An Update on China/HK Cross-Border Tax and Investment Market

Date: 08 Sep 2016

2016 is a year full of challenges for enterprises doing business with and making investments in China. Having experienced years of rapid growth, China has faced the pressure of economic slowdown in 2016. On a global level, G20 endorsed the OECD's Base Erosion and Profit Shifting (“BEPS”) Action Plan, enabling tax authorities from all over the world to further enhance their regulatory frameworks over cross-border transactions.

China’s State Administration of Taxation highly regards the transformation of the BEPS Action Plan on a domestic level and launched a series of tax policies. The new tax policies are aimed at stepping up efforts to strengthen anti-tax avoidance for multi-national corporations, to add antiabuse provisions to the newly concluded Double Taxation Agreements, and to tighten regulatory tax compliance and strengthen penalties for irregularities. The Government of Hong Kong Special Administrative Region also formulates new measures to enhance tax transparency and combat tax evasion with a pledge of implementing the entire BEPS Action Plan. Facing the new circumstances arising from the gradual execution of BEPS Action Plan in 2016, foreign investors should review their investment structures and operation strategies in Hong Kong and the mainland to make adjustments required for mitigating tax risks and enhancing operation efficiency.

In addition, under China’s national policy of “One Belt and One Road”, more and more local Chinese enterprises aim for outbound investments or further develop business in the countries and regions along the “One Belt and One Road”. How should China’s “going out” enterprises map out strategies for overseas business development to adapt to the ever-changing operation environment in foreign markets? This is a new topic for fervent discussion at the moment.

In respect of the latest market development mentioned above, Crowe Horwath (HK) CPA Limited and Crowe Horwath Tax Services (HK) Limited ("Crowe Horwath") and Amicorp Hong Kong Limited and Amicorp (Shanghai) Consultants Ltd ("Amicorp Group") will jointly organise a seminar on 8 September 2016. Seasoned tax experts from Crowe Horwath will focus on introducing the latest developments in cross-border tax issues and the impact of the BEPS actions on China inbound investments. In addition, seasoned experts from Amicorp Group will give a presentation on opportunities, challenges, issues and solutions for the Chinese investors making outbound foreign investments. Experts from Amicorp Group will also discuss Private Equity Fund Structures.

Topics:

An Update on cross-border tax issues in China

  • Trend of China’s Tax Reform
  • How China localises the Action Plan of Base Erosion and Profit Shifting (“BEPS”) launched by the Organization for Economic Co-operation and Development (“OECD”) , and its impact on foreign investors
  • The latest development of transfer pricing
  • How to map out the investment framework and operation mode in China under the latest development?
  • Key Points of China’s Business Tax to Value-Added Tax Transformation
An Update on Hong Kong Tax
  • Hong Kong’s newly launched policy of corporate treasury centres
  • Tax treatment for court-free company amalgamations
  • Other updates on tax news and tax cases
Fund Management
  • China Outbound Investment: Challenges and Opportunities:
    • Challenges and issues for Chinese investors investing overseas
    • Solutions and case studies to selected issues: China Free Trade Zones, foreign subsidiaries substance and compliance management
  • Current Issues in Private Equity Structuring
Please click here for more information and download the registration form.

Featured Contributor

Subscribe to CGA Newsletters