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Foreign Partner of a Foreign-Invested Partnership in China Subject to Enterprise Income Tax

|Approved Changes|China
China

The foreign invested-partnership enterprise (FIP) is a business form introduced in China in 2010. The form was introduced to provide more options for foreign investment into China and allows for both general and limited partners. However, the use of the form has been limited as the taxation of foreign partners, especially limited partners, has been unclear. A recent decision by a local Chinese …

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