The European Union Chamber of Commerce in China is delighted to invite you to a Breakfast Seminar on 29 January 2013, providing an introduction regarding the valuation of related parties’ equity transfer.
In the recent two years, the Chinese local tax bureaus have published many cases where equity transfers between related parties have been conducted at cost or below fair value and have subsequently been challenged. In these cases, the local tax authorities, with the active support from the China State Administration of Taxation (“SAT”), have adopted specific valuation methods to determine a deemed fair value of the equity and adjusted the equity transfer price for tax purposes accordingly. Compared with other tax audit procedures, all of these cases have two things in common: A very fast conclusion of the case and a significant adjustment amount with respective additional cash tax payment. In some cases of non-tax resident enterprises, some tax authorities also applied Guoshuihan [2009] No.698 and disregarded the existence of an overseas intermediary holding company based on lack of economic substance.
We are delighted to announce that Mr. Ray Zhu, Partner, PwC, and Mr. Ge Lu, Senior Manager, Transfer Pricing, PwC, will present SAT’s new developments on the equity transfer transactions, and discuss about the potential impact to the multinational companies who had conducted or are planning to conduct corporation restructuring. Furthermore, Mr. Tong Wang, the specialist from BvD Database, will share their insights on tax authorities’ focus on using research databases and their tools available for valuation.
Agenda
08.00-08.30: Registration and buffet breakfast
08.30-08.35: Introduction, Finance & Taxation Working Group, European Chamber
08.35-09.20: “Recent New Developments on the Valuation of Related Parties’ Equity Transfer” by Mr. Ray Zhu, Partner, PwC and Mr. Lu Ge, Senior Manager, PwC
9.20-9.45: “Database Vender’s observation on Tax Purpose Valuation in China” by Mr. Tong Wang, BvD Database
9.45-10.15: Q&A
Registration
Please register through this website (button above).
For any further enquiries, please contact Ms Zhao Yang at yangzhao@europeanchamber.com.cn or 63852023-117, stating your name and company, by Monday, 28 January 2013 COB.
Event Terms & Conditions
Please note that, though all are welcome to attend our events, we strongly recommend that you register online with us in advance so that we can keep you updated on any changes in the event schedule. From time to time, due to unforeseen circumstances we need to change the time or venue of an advertised event. So please do let us know by registering online if you plan to attend an event so that we can keep you informed.
Speakers
Ray Zhu
Ray has over 13 years of experience in providing China tax and business advisory services, where he has accumulated extensive experience in advising both MNCs and domestic companies. He specialises in business model analysis, tax planning, tax audit defense and Foreign Exchange advisory. Relevant experience. Ray is very experienced in serving MNCs and his client portfolio includes many US Fortune 500 companies as well as many well known EU and Korean enterprises.
Ge Lu
Lu Ge is a Tax/Transfer Pricing Senior Manager of the Transfer Pricing Services practice in PwC China. He has 7 years of experience in tax and transfer pricing consulting. Mr. Lu has been engaged by multinationals (MNEs) and China domestic enterprises in consumer products, automotive, telecommunication and fast-moving consumption goods industries for numerous transfer pricing projects. Lu Ge has been a regular speaker on economic analysis, transfer pricing issues and trends for professional conferences on the subject.
Tong Wang
Tong Wang is a China Senior and Training Manager of Bureau Van Dijk (BvD) (one of the world’s leading providers of commercial information service and solutions). In recent years, he has provided numerous trainings and project consulting services on transfer pricing to the SAT, around 20 tax bureaus at provincial levels including state tax bureaus of Shanghai, Beijing, Guangzhou, Jiangsu and Zhejiang, as well as a number of local tax bureaus. Meanwhile, he has, on many occasions, shared and exchanged experiences with state tax bureaus of various levels on the hot topics in transfer pricing, such as equity transfer and evaluation of intangibles.