Home
> FOREIGN INVESTMENT > Foreign Investment Policy

Cost of Investment Elements

(1)   Land Price

The existing standard land price of industrial land in the park should be carried out according to 11th level land. The standard price of industrial land is 96,000 yuan per mu (144 yuan per square meter).

(2)   Power Supply Price       Unit: yuan per kilowatt hour

Classification of Electricity

Quantity and Price of Electricity

Basic Electricity Price

Less than 1 kilovolt

1-10 kilovolts

35-110 kilovolts

110

kilovolts

220 and above 220 kilovolts

Maximum demand (yuan per kilovolt per month)

Transformer capacity (yuan per kilovolt-ampere per month)

1. Residents’ Living

0.600

0.600

0.600





2. Non-resident and Business

0.995

0.980

0.965





3. Non-industry and Ordinary Industry

0.753

0.738

0.723





Including:

Medium and small chemical fertilizer industry

0.523

0.508

0.493





4. Large-scale Industry


0.612

0.597

0.582

0.572

42

28

Including:

A. ferroalloy, electrolytic caustic soda, synthesis ammonia, calcium magnesium phosphate fertilizer and yellow phosphorus


0.571

0.556

0.541

0.531

42

28

B. calcium carbide


0.561

0.546

0.531

0.521

42

28

C. medium and small chemical fertilizer


0.399

0.384

0.369

0.359

36

24

(3)   Water Supply and Sewage Treatment Price

Charged Items

Computing Unit

Price of Tap Water

Sewage treatment Fee

Household Water Price

Industry

yuan per ton

1.70

0.8

2.50

Operation Infrastructure

yuan per ton

1.90

1.20

3.10

Special Industry

yuan per ton

6.00

1.80

7.80

Administrative Business

yuan per ton

1.60

0.80

2.40

Residents’ Living

yuan per ton

1.35

0.80

2.15

PS: If the enterprise builds a sewage treatment facility by itself and sewage after treatment can meet class A or B standards stipulated in the Integrated Sewage Discharge Standard by the nation, its sewage treatment fee can be appropriately reduced after examination and approval to the charging standard of 0.15 yuan per ton.

(4)   Transportation Costs for Reference

Railway Transport Prices from Nanchang North Station to Key Cities (full vehicle)

Destination

Transportation Price (yuan)

Time of Transportation (day)

2×20 feet

1×40 feet

Northern (Shanghai)

4,992

3,882

3

Hejiawan (Shanghai)

5,011

3,897

3

Jungonglu Port (Shanghai)

4,660

3,634

3

Ningbo (north)

4,719

3,813

5-7

Beilun Port

4,400

3,800

5-7

Guangzhou (east)

4,800

4,600

3

Guangzhou (south)

4,600

4,400

5-7

Shenzhen (north)

6,193 (or 25% lower)

4,821(or 25% lower)

48 hours

Xiamen (north)

4,973

4,120

2-3

The above data was provided by Jiangxi Nanchang Bonded Logistics Center on February 23rd, 2011.

Highway Transport Pricing from Fuzhou to Key Cities (for reference)

The market transport price of general road freight is about 0.45 yuan per ton kilometer.

(5)   Usage Charges of Project Construction Equipment (for reference)

Equipment

Computing Unit

Price (yuan)

Engineering Vehicle

yuan per vehicle·2 cubic meters

40

Excavator (small size)

yuan per hour

160

Excavator (large size)

yuan per hour

260

Bulldozer

yuan per hour

220

(6)   Annual Salary Level of Part of Occupations (Type of Work) in Labor Force Market (for reference)

Occupation (Type of Work)

High Level

Median Level

Low Level

Secretary

15,600

12,000

9,600

Accountant

24,000

20,400

18,000

Cashier

15,600

12,000

9,600

Statistician

19,200

18,000

14,400

Computer Character Input Operator

15,600

12,000

9,600

Promotion Worker (sales)

19,200

18,000

14,400

Business Personnel

19,200

16,800

13,200

Inspector

17,160

13,200

10,560

Cashier

12,000

9,600

7,200

Trade Assistant

12,000

9,600

7,200

Storekeeper

9,600

7,920

7,200

Guard

14,400

12,000

9,600

Restaurant Waiter

9,600

8,880

7,200

Room Attendant

9,600

8,880

7,200

Driver

23,760

19,800

13,200

Liquor-making Worker

21,600

19,200

16,800

Mechanical Maintenance Bench Worker

18,480

13,860

11,880

Boiler Operator

19,200

18,000

12,000

Lathe Operator

17,160

15,840

13,200

Electrician

14,400

12,000

9,600

Water Conservancy Engineering and Technical Worker

24,000

18,000

1,2000

Carpenter

36,000

24,000

20,000

Mason

24,000

22,000

20,000

Concrete Worker

40,000

24,000

20,000

(7)   Social Insurance

Item

Unit Part

Personal Part

Notes

Pension Insurance

20

8

Nationally enforced

Unemployment Insurance

2

1

Nationally enforced

Medical Insurance

7.5

2

Nationally enforced

Work-related Injury Insurance

0.5-2


Executed at the rate determined on the basis of industry difference

Total

30.5

11


(8)   Local Tax Category, Tax Item and Tax Rate

Tax Category

Tax Item and Tax Rate

Business Tax

A.    3% for transportation industry, construction industry and post and telecommunications industry;

B.    5% for cultural and sports industry, service industry (rental income of personal rental housing should be taxed at 3% reduced rate), finance and insurance industry, transfer of intangible assets and sales of immovable properties;

C.    20% for entertainment industry.

Enterprise Income Tax

A.    Statutory tax rate is 25%;

B.    Preferential tax rate: from January 1, 2008, enterprises enjoying low tax rate preferential policies gradually begin transition into being taxed at statutory tax rate within five years. This includes: enterprises enjoying 15% enterprise income tax rate should be taxed at 18% in 2008, 20% in 2009, 22% in 2010, 24% in 2011 and 25% in 2012; those enjoying 24% tax rate should be taxed at 25% from 2008. Enterprises enjoying tax breaks on a regular basis like an exemption for the first two years and a half rate reduction for the next three years, and an exemption for the first five years and a half rate reduction for the next subsequent five years should continue to be taxed according to the original tax laws, administrative rules & regulations and relevant preferential measures and can enjoy tax breaks until the expiration, but for those having not enjoyed tax preferences due to not having made a profit, their preferential period is calculated from the year 2008.

Individual Income Tax

A.    Wage income tax should be levied at nine grades excess progressive rates of 5% to 45%; business income tax of individual industrialists and businessmen, contractors and leasers should be levied at five grades excess progressive rates of 5% to 35%; remuneration tax for personal services should be levied at three grades excess progressive rates of 20% to 40%.

B.    Tax on remuneration for contributions, income from franchise royalties, property tenancy, transfer of property, interest, stock dividends, bonuses, accidental income and other income should be levied at the proportional tax rate of 20%.

Land Value Increment Tax

A.    Excess progressive rates of 30% to 60% are applicable to tax collection by way of auditing of accounts;

B.    Tax on income from transfer of real estate should be pre-requisitioned at 3% for housing, 5% for storefront and 1% for other real estate development.

Urban Construction Tax

Should be calculated on the basis of actual amount of added-value tax, consumption tax and business tax paid by taxpayers and applies a proportional tax rate of 7% for downtown areas, 5% for urban areas and 1% for rural areas.

House Property Tax

A.    Should be levied at 1.2% of annual residual house property value or 12% of rental income.

B.    Should be levied at 4% of rental income (for residence).

Stamp Tax

A.    Tax on purchases and sales contracts, construction and installation engineering contracts and technical contracts should be levied at the rate of 0.3‰ of purchases and sales amount, contract amount or the amount of money written in the contract;

B.    Tax on processing contract, construction engineering survey and design contract, and freight transport contract should be levied at the rate of 0.5‰ of processing income, charge fees, transportation charges or the amount of money written in the contract;

C.    Tax on property leasing contract and warehouse storage contract should be levied at the rate of 1‰ of the leasing amount and warehouse storage costs;

D.    Stamp tax on the property insurance contract should be levied at the rate of 1‰ of premium income;

E.    Tax on the loan contract should be levied at the rate of 0.05‰ of the loan amount;

F.    Tax on rights licensing certificates and other business accounting books should be levied at 5 yuan per item.

Resource Tax

Tax should be calculated on the basis of the quantity quota of taxable minerals.

 


Produced By 大汉网络 大汉版通发布系统