During the period from 1 January 2012 to 31 December 2015, small and low-profit enterprises, recognized according to Corporate Income Tax law of PRC and other relevant tax regulations can pay corporate income tax at 20% of 50% of actual taxable income.
Lee & Lee Associates Comments: The preferential income tax policy for small and low-profit enterprises actually is one of tax laws. The above notice is to clarify the practical measure in tax filing and supervision.
Relevant Rule: Notice of the Ministry of Finance and the State Administration of Taxation on Issues Concerning Preferential Income Tax Policy for SMEs (Cai Shui No. 117 [2011]) effective from 1 January 2012 to 31 December 2015.
