China’s General Office of the State Administration of Taxation (SAT) highlighted recently issued tax guidance, “Interim Measures for the Tax Management of Non-resident Enterprises Engaged in International Transportation Business,” in a Sept 15 English-language news release.
The guidance, released on July 2, applies to non-resident enterprises that use their self-owned or leased ships, planes, and cabins to transport passengers, cargoes, or mails as a form of import and export through China’s ports. Businesses subject to the new rules include supportive operations such as handling and warehousing, as well as the lease of ships and planes in the form of voyage charter, time charter, and wet lease to secure operating income. SAT release
