At the State Council meeting held on October 21, 2015, Premier Li also announced China’s intention to expand the pilot tax policies implemented in the national innovative demonstration area nationwide, effective on different dates.

It is worth mentioning that, starting October 1, 2015, when a resident enterprise obtains income from a nonexclusive licensing of technology for a period over five years, the enterprise will be entitled to an EIT exemption of up to RMB 5 million and a 50% reduction on the excess (under the current technology transfer policies, these tax benefits are limited to exclusive licensing for a period of five years or transfer of ownership of qualified technology).

Date of issue: October 23, 2015.