• Service: Tax
  • Type: Publication series, Regulatory update
  • Date: 5/23/2013

“Totality of Facts” approach confirmed for grant of tax treaty benefits for dividends 

China Tax Alert - Issue 10, May 2013


A circular issued by the State Administration of Taxation (SAT) provides some guidance on the assessment of beneficial ownership of dividends under the PRC-HK double tax arrangement (PRC-HK DTA) for the purposes of withholding tax relief. This circular has confirmed the position put forward in Circular 601 and Announcement 30 that a “totality of facts” approach be adopted in assessing the beneficial owner status of a non-resident enterprise in relation to dividends derived from China.

China Tax Alert
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