Further clarification of the new corporate income tax ("CIT") accelerated depreciation policy for fixed assets
In order to facilitate the State Council’s decision on the improvement of fixed assets (FA) accelerated depreciation policy (New Policy) under the Corporate Income Tax (CIT) Law, the Ministry of Finance (MoF) and the State Administration of Taxation (SAT) jointly issued Caishui  No.75 (Circular 75) in late October 2014, providing guidelines for the detailed CIT treatment of the New Policy. After Circular 75 was released, there were vigorous discussions among certain parties (including enterprises and tax authorities) with respect to the implementation of the New Policy. For the purpose of clarifying certain implementation issues and ensuring consistent practice in all localities, the SAT promptly promulgated Pubic Notice  No.64 (Public Notice 64) in mid-November to provide more clarifications and set out relevant administrative regulations and record-filing requirements for the application of the New Policy.
Other issues of China Tax/Business News Flash Visit our Tax Library.