RMB Use Internationally Picks Up but Still Well Short of ...
In 2010, China’s currency, the renminbi, picked up pace toward becoming a world currency. In June the Chinese government extended its renminbi trade settlement scheme to include 18 provinces and cities, as well as Guangdong province and Shanghai, which are now allowed to handle all international service transactions and...
Tax: Time to review your RO
With the latest changes in the Chinese tax legislation, it is time for NZ investors with Representative Offices (ROs) in China to review their business plan. ROs have been used by many foreign firms as the initial step to enter the Chinese market. An RO is a legal extension of the foreign head company and...
Navigating through Taxing times in China
Let’s face it; tax is confusing enough as it is without the legislation itself being unclear. Thankfully, China’s State Administration of Taxation (“SAT”) recognised that its Corporate Income Tax (“CIT”) law had fallen into this trap. Recently, the SAT has issued Circular 79 to clairfy...
What the HK Double Tax Agreement Means for You
A long overdue and rather exciting announcement (for those who get excited about tax) is that New Zealand and Hong Kong are entering into Double Tax Treaty negotiations. While we have had a double tax agreement with China since 1986, Hong Kong has never been part of this. All those investing in China know that often it...
Hedging Your Currency Bets
An article appeared in the New Zealand Herald a few months ago which examined the currency hedging practices of Kiwi exporters. The conclusion seemed to be "damned if you do, damned if you don't". We asked our good friends at the HSBC what they thought and what tips they might have for exporters that are considering...
FINANCE: China tax alert for year of Tiger
Chinese New Year is the longest and most significant festival in China. It officially got under way on 14 February this year, shifting from the Year of Ox to the Year of Tiger. While most Chinese New Year celebrations are taking place in China, many companies outside China would be busy seeking to stay on top of the...