The Ministry of Finance and the State Administration of Taxation issued a Circular on Enterprise Income for gain derived by outbound non-monetary investment effected by companies established in the Shanghai Free Trade Zone. The Circular provides that, with regard to the asset appreciation arising from outbound investment with non-monetary assets, or asset restructuring transactions, enterprises registered in the Free Trade Zone may pay enterprise income tax on above gains in five years installments. The Circular is effective from November 15, last.

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