Preferential Policies on Investment in Hefei
1. Such preferential policies promulgated by the State Council as the exemption from corporate income tax in the first two years starting from the profit-making year and 50% reduction of that in the following three years after the exemption period are applicable to foreign-invested productive enterprises
2. A low-threshold policy for industrial land use is applicable to those who intend to invest in Hefei from abroad and outside of Hefei. For such big projects as those involving heavy investment and those with an over 10-year period of operation, upon approval and abide by the land-use contract, the investors can pay land transfer fee by installments for the land used for project construction.
3. Those enterprises invested in Hefei from abroad and outside of Hefei with a total investment of over 3 million US dollars will get 30-100% refunds of its paid land transfer fee from relevant financial department in the third to the fifth year upon the year when it realizes a tax handover of over 10 million RMB.
4. Those investors from abroad and outside of the city invested in a large-scale project with an operation period of over 10 years can enjoy special support in terms of land use, local reward and some relevant fee reduction or exemption upon the approval of the municipal government as long as one of the following items is applicable to them.
(1)Over 1000 locals are employed by the invested enterprise,
(2) The tax handover of the invested enterprise exceeds 10 million RMB in the next year after it is put into production (excluding customs duties and other tariffs levied by customs on others’ behalf),
(3) The annual foreign exchange settlement from export of the invested enterprise exceeds 10 million US dollars,
(4) Major project playing a leading role in speeding up the economic restructuring of the city.
5. Investors from abroad and outside of the city investing in industrial projects in development zones or industrial parks are applicable for “zero percent” administrative charges and half-reduced operational charges against the provisions of those stipulated by the municipal government.
6. The land taking for those Investors from abroad and outside of the city who invest in industrial projects in development zones or industrial parks can be conducted by stretches for later gradual development.