According to recent statistics from the taxation authority of Guangdong-Macao In-Depth Cooperation Zone in Hengqin, in the first quarter of this year, enterprises in the Cooperation Zone have enjoyed 15% enterprise income tax relief worth about 200 million RMB during withholding tax declaration.
Substantive production and operation are prerequisites for enterprises to enjoy the 15% enterprise income tax relief. It means that enterprises settle their production and operation, personnel, finance and property in the Cooperation Zone.
The Cooperation Zone in Hengqin backs Macao's development of four major industries: technological research and development and high-end manufacturing; Chinese medicine and other Macao-branded industries; cultural tourism, exhibition and trade; and modern finance.
From January to April this year, the number of businesses engaged in these four major industries in the Cooperation Zone has increased by 3.4% year-on-year. Among them, the percentage of those with substantive production and operation addresses exceeds 40%, and the tax revenue from the four major industries accounts for more than 30%.
So far, over 5,400 Macao-funded enterprises are conducting business in the Cooperation Zone, and nearly 40 percent of them are in the four major industries. Nearly half of the newly-settling Macao-funded enterprises this year are engaged in the four major industries, especially in the field of the technological R&D and high-end manufacturing.
Based on the data of VAT invoices, from January to April this year, the accumulative amount of VAT invoices issued by enterprises from the fields of scientific researches and technical services, information software services, accommodation and catering as well as financial industry in the Cooperation Zone increases by 16.82%, 13.94%, 93.53% and 10.36%, respectively.
Author | Nancy Ye
Editor | Wing, Olivia, Nan, Will, Jerry
