In April 14,2009, Ministry of Finance and State Administration of Taxation jointly issued <Notices of Ministry of Finance, State Administration of Taxation, Ministry of Commerce, Ministry of Science and Technology, State Development and Reform Commission on related tax policy for advanced technology service enterprises> (Caishui[2009] 63).It explicitly stipulates the standard of assertions and tax preference for advanced technology service enterprises. On the one hand, this regulation expands the scope of Suzhou`s tax preference into the other cities such as Beijing, Tianjin and Shanghai. On the other hand, it timely provides the tax preference to technical service outsourcing enterprise without core IP rights under the financial crisis.

Tips of tax preference
Scope
Enterprises located in Beijing, Tianjin, Shanghai, Chongqing, Dalian, Shenzhen, Guangzhou, Wuhan, Harbin, Chengdu, Nanjing, Xi'an, Jinan, Hangzhou, Hefei, Nanchang, Changsha, Daqing, Suzhou, Wuxi and other 20 cities.
Time limit
From January 1, 2009 to December 31,2013.
Preferential policy
Asserted enterprises can enjoy the preferential tax treatment of 15% tax rate.
Off-shore technology outsourcing income can be exempted from sales tax..
If employee education expenses are no more than 8% of enterprise total wages, it can be deducted before tax. Excess part of expenses can be deducted in future tax years.
Enjoying the preferential policies such as finance discount, financial support and facilitation of customs clearance and financing.

Scope of services
Hwuason has paid attention to preferential tax policies for hi-tech enterprises and will full assist enterprises to obtain maximum tax benefits via legal channels and help lay a solid foundation for enterprises` long-term development. Hwuason can provide the following services:

• Providing all-round tax policy advice.
• Assessing the feasibility of enterprise’ qualification for reporting advanced technology service enterprises.
• Designing the overall reporting solution.
• Planning research and development costs.
• Preparing application materials.
• Assisting in obtaining the certificate of advanced technology service enterprises.
• Helping enterprises apply for tax preference.

Service value
Improve the work efficiency and let enterprises enjoy the preferential policies as soon as possible.
Plan in advance to avoid the tax risk.