According to Article 27 of new EIT law, incomes derived from technology transfer can subject to the reduction or exemption of Enterprise Tax Law. According to Article 90 of EIT law implementing regulations, the income of technology transferring shall be exempted or reduced form enterprise income tax. Which means that within one tax year, technology transfer incomes of resident enterprises no more than 5 million shall be exempted from company income tax; technology transfer incomes of resident enterprises more than 5 million shall be half reduced when come to enterprise income tax. In April 24, 2009, State Administration of Taxation issued <Notice of State Administration of Taxation on the relief of enterprise income tax for technology transfer> (Guoshuihan No. 212, 2009), in which it makes some regulations for the condition.

Tips of tax preference
Technology transfer incomes of resident enterprises no more than 5 million shall be exempted from company income tax; technology transfer incomes of resident enterprises more than 5 million shall be half reduced when come to enterprise income tax.

Scope of services
Hwuason can provide following services in the process of application:
Providing overall tax consulting
Collecting related material and assessing the feasibility of enjoying tax benefits
Planning the trading model and means
Drafting and reviewing the contracts related to transferring technology and other related material
Helping enterprises identify and record the contracts related to transferring technology
Filling in application materials
Helping enterprises apply for tax preference

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