Provisions of Shandong Province on Establishing Export Processing Zones

article 1 in order to speed up the implementation of the economic development strategy in coastal areas and promote opening to the outside world, it is determined to set up export processing zones (hereinafter referred to as processing zones) in Qingdao, Yantai, Weihai, Weifang, Zibo, Longkou, Rizhao and Jinan.

in the processing zone, we should adhere to the principle of gradual development according to our capabilities, develop one piece, build one piece and get good results, and organize all forces to jointly develop and build. Article 2 The administrative committee of the processing zone shall be set up by the local municipal people's government to exercise unified leadership and management of the processing zone on behalf of the municipal people's government.

the internal organization and staffing of the management Committee of the processing zone shall be determined by itself. Article 3 Any public institution, company, enterprise or individual at home and abroad may, in accordance with the requirements of the overall planning of the processing zone, set up a company, enterprise, real estate industry or hold processing, assembly and compensation trade projects in the processing zone by means of joint venture, cooperation or sole proprietorship, and may set up a resident representative office (hereinafter referred to as enterprises in the zone). Article 4 An application for establishing an enterprise in the zone can go through the formalities of obtaining approval certificate, land use, industrial and commercial registration, tax registration and so on after being examined and approved by the administrative committee of the processing zone. Article 5 The land within the planning scope of the Processing Zone shall be managed by the Management Committee of the Processing Zone in a unified way. Without approval, no unit or individual may arbitrarily change the topography and landforms before expropriation. Sixth enterprises in the area to implement paid transfer of land use rights, the transfer of land price reduced by 5% of the price of similar land outside the processing zone.

to set up advanced technology enterprises or export enterprises, priority can be given to providing land for enterprises, and the transfer price can be paid in installments within five years. Seventh in the processing zone to invest in the establishment of productive enterprises, land use fees shall be exempted for five years. Article 8 The income from production, operation and other income of foreign-invested enterprises in the zone shall be subject to enterprise income tax at a reduced rate of 15%. Among them, if the operating period stipulated in the contract is more than ten years, the income tax will be exempted from the first year to the second year, and the income tax will be reduced by 1% from the third year to the fifth year. Article 9 Enterprises with foreign investment shall be exempted from local income tax. Business tax (consolidated industrial and commercial tax) and income tax shall be exempted for three years from the income earned by enterprises in the area from processing and assembling with foreign materials; After the expiration of the period, the preferential treatment of tax reduction or exemption may be continued upon approval of the application. Products exported by compensation trade projects for compensation shall enjoy preferential export tax rebate policies. Tenth enterprises in the area engaged in real estate industry, and invested in construction before 199. Exempt from consolidated industrial and commercial tax or business tax. Eleventh non-profit houses built by enterprises in the area are temporarily exempted from property tax and construction tax. Article 12 When foreign businessmen remit their profits from enterprises in the area abroad, they shall be exempted from income tax on the remitted amount.

if all investors of a foreign-invested enterprise reinvest in the processing zone for a period of not less than five years in order to share the profits, all the enterprise income tax paid for the reinvested part will be refunded. Article 13 With the approval of the local people's government, the income from foreign investors who provide preferential conditions to enterprises in China, lease advanced equipment and introduce advanced technology or equipment, as well as their share capital, interest, rental royalties and other income from processing zones, may be reduced or exempted from income tax. Article 14 Personal income tax shall be levied by halving the income from personal wages and salaries of foreigners in the area. Article 15 Foreign economic and trade companies may be established in the processing zones to handle import and export business in the processing zones. Article 16 Foreign businessmen investing in the processing zones and foreign technicians working in the processing zones shall be exempted from customs duties and consolidated industrial and commercial tax when importing articles and means of transportation for their own use. Article 17 Bonded warehouses, bonded factories and bonded workshops may be set up in the processing zones to provide services for the production and business activities of enterprises in the zones. Article 18 The foreign exchange income shared by the Chinese partner of a foreign-invested enterprise, the income from processing and assembling supplied materials, and the foreign exchange quota of the income after the expiration of compensation trade compensation shall be turned over to the state according to the prescribed proportion, and all of them shall be owned by the enterprise. Article 19 After-tax profits contributed by enterprises in the province or shared in the production and operation of processing zones with equipment and labor services will not be levied again when they are repatriated to the original enterprises. Twentieth domestic public institutions or companies, enterprises and individuals in the processing zone investment income, owned by investors. Its production output value or turnover shall be counted by the investor. Twenty-first advanced technology projects introduced by foreign capital in the processing zone, the investment amount is large, and the foreign exchange guarantee in the city is difficult, you can apply for foreign exchange guarantee from financial institutions with foreign exchange management rights in the province. Article 22 Foreign-managed and contracted enterprises are encouraged to operate independently in accordance with international practice.

the mode of production and operation, organization setting, employment system, labor remuneration and welfare benefits of enterprises in the area shall be determined by the enterprises themselves. Article 23 Foreign businessmen and foreign technicians and managers who invest in the processing zones are allowed to live in China for a long time, and they can go through multiple entry and exit visa procedures. Article 24 Personnel of enterprises in the zone going abroad shall be examined and approved by the people's government and administrative office of the city where the processing zone is located. Twenty-fifth overseas Chinese, compatriots from Hong Kong, Macao and Taiwan Province who invest in the processing zone, and their relatives in rural areas in China, can be converted into urban hukou. Specific measures shall be formulated by the municipal people's government where the processing zone is located. Twenty-sixth enterprises in the area also enjoy other preferential treatment provided by the relevant laws and regulations of the state and this province.