Government measures in key jurisdictions 5th edition - Flipbook - Page 37
China
Litigation
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exemption of rental payment for three months in the first half of the year for those
micro and small-sized enterprises and businesses owned by individuals in distress in
the service industry if the property are owned by the state,
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property owners other than the state are encouraged to exempt or delay
the collection of rent, and
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local governments should establish and improve the mediation and resolution mechanism
for rental dispute and help the parties to resolve disputes through consultation.
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A number of courts and arbitration institutions issued notice to encourage online
filing and submission of materials. For example, court in Shanghai encouraged
parties to initiate mediation and handle litigation related matters through online and
mobile platforms. On January 28, 2020, the China International Economic and Trade
Arbitration Commission issued a notice encouraging parties to submit arbitration
applications and related documents through the online filing system.
•
For additional information on the development of diversified dispute resolution
mechanism to deal with emergencies in Chinese, please click here.
Are the courts
operating?
Tax
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The Ministry of Finance, the State Taxation Administration and the General
Administration of Customs have jointly issued several circulars to support the
epidemic’s prevention and control, prompt the relevant enterprises’ development and
lighten the tax burden of the taxpayer affected by this epidemic. According to the
contents specified in the relevant circulars, the tax policies can be categorized into
the following five categories: 1. Corporate Income Tax (“CIT”); 2. Individual Income Tax
(“IIT”); 3. Valued-Added Tax (“VAT’), Consumption Tax (“CT”) and other taxes; 4.
Imported Materials; and 5. Tax Administration and Collection. Below are selected
policies.
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(CIT) Enterprises significantly affected by the epidemic: for the tax loss incurred in
2020, the maximum carry forward period is increased from five to eight years.
•
(IIT) Medical staff and anti-epidemic workers participating in epidemic prevention
and control: the temporary subsidies and bonuses obtained according to the
standards specified by governments are exempt from IIT.
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(VAT) Revenue derived from providing public transportation services, consumer
services and collection and delivery services for residents’ daily necessities is
exempted from VAT.
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(Tax Administration and Collection) Taxpayers and withholding agents subject to
monthly tax filing (Nationwide): the statutory time limit for tax filing in February
2020 will be extended to February 24, 2020. Taxpayers and withholding agents
affected by the epidemic who still face difficulties in filing tax returns after the said
time limit extension in February 2020, may apply for a further extension in
accordance with the law.
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Summary of the RPC Tax Regulations issues in response to the Covid-19 Outbreak.
Has any new
legislation been
introduced in light
of Covid-19?
Government measures in key jurisdictions
37
