In this month’s “Our view”, we highlight some recent tax-related developments – particularly in respect to a pending PRC implementation early 2017 of the OECD’s Common Reporting Standard (CRS) – set to affect Chinese private equity funds and their managers in the PRC.
Key points of interest include:
- more complex reporting obligations for PE funds given such entities will likely be designated as financial institutions under CRS
- planning and resource allocation issues in light of a tight timeline
- clarification on value-added tax and business tax regarding pre-IPO issuance of shares and historical transactions.