The DTA between Germany and China has been in force for more than nine months since January 1, 2017. In practice, some long-debated issues, such as whether the reduced withholding tax rate for dividend distribution would also apply for profits generated before 2017, become validated and clarified along with the practices. With the further implementation of the Sino-Germany DTA, many German-invested enterprises in China are gradually considering of many issues, such as the holding company structure in Hong Kong, Singapore or Germany as well as identification of permanent establishments, etc. In practice, some local tax authorities have initiated investigations of dividend beneficial ownerships of those foreign-owned enterprises invested in China via holding structures. It is also noticed that the Chinese tax authorities intent to reject the application for preferential tax rates of those non-eligible holding companies without business substances and further request made-up tax payments. In order to enjoy preferential tax treatments and achieve taxation optimization, the implementation of the new Sino-Germany DTA requires foreign-owned enterprises and their shareholders to re-examine their group holding structure. In this event, the experienced tax expert will share some experience during the implementation of the DTA, for example:
- 股利分配适用降低股息税率的实践操作以及风险争议点; - Practical implementation of reduced withholding tax rates for dividend distribution as well as risks and disputes;
- 通过控股公司在华投资的构架在华申请中德双边协定的风险和争议点; - Risks and potential issues regarding the application of preferential treatments under Sino-Germany DTA for enterprises invested via holding structures;
这次演讲会的演讲语言为中文,欢迎法务、税务,管理以及其他相关领域的参与者就实际操作问题进行提问并且分享经验。 The workshop will be held in Chinese and participants active in legal, tax, management and other relevant fields are welcome to raise questions and share experiences.