Company News

A new service tax system has been introduced this week in India based on a list of 38 exemptions, rather than the previous list of 119 explicitly taxed activities. Under this regime, a tax of 12 percent will be levied on all services not included in the exemption list.

In accordance with figures released by the municipal statistical department, Guangzhou’s Housing Fund Management Center issued on July 10, 2012 a notice adjusting the maximum housing fund contribution base for 2012 to RMB23,945 (i.e. RMB 4,789×5).

Shenzhen’s Housing Fund Management Center released a supplementary notice adjusting the 2012 housing fund contribution base (shen gong ji jin [2012] No.60) on June 26.

In July 2012, tax authorities in Beijing started requiring companies falling under certain sectors to submit forms that include surveys requesting information on total business revenue, as well as applications for general VAT taxpayer status under the pilot project.

China’s State Council released the “Official Reply on Policies Concerning the Development and Opening-up of Qianhai Shenzhen-Hong Kong Modern Services Cooperation Zone (guohan[2012] No.58, hereinafter referred to as ‘Reply’)” on June 27.

To simplify the types of general tax invoices used, and to standardize their format, the State Administration of Taxation (SAT) issued the “Notice Concerning the Printing and Publishing of the National Implementation Plan for Simplifying and Unifying General Tax Invoices into a Uniform Format (guoshuifa [2009] No. 142)” in September 2009.

After going through four drafts and numerous debates over the past three years, Vietnam’s National Assembly officially ratified the country’s new Labor Code (revised) during an official meeting on June 18, 2012.

For the organized growth and development of industrial India, Parliament has enacted the Industrial (Development and Regulation) Act, 1951.

Foreign investors have been wary of investing in India since the beginning of the year after the budget introduced the General Anti-Avoidance Rules, or GAAR, and retrospectively changed the income tax law.

The Reserve Bank of India has granted the U.S. financial institution Morgan Stanley a banking license. The bank, one of the largest players in global M&A and advisory services, is expected to use its license to lend to corporate clients when advising on takeovers involving Indian entities.