Double Taxation Agreement Ireland And China
It should be noted that the Chinese tax authorities are thoroughly examining the avenues of transaction between their foreign subsidiaries in order to eliminate the possibilities of operating an IMC, reduce its taxable income by using transactions of a close party. In order to avoid any delay, it is therefore recommended that a Chinese company clearly express its intention to apply for double taxation relief. This strategy saves time for both the applicant and the tax authorities. The benefits of the double taxation policy can be exploited by both Chinese nationals and multinationals. In addition, this double tax relief is also available for foreign business entities that charge for services to a company established in China (subject to a WHT).