Lobby Letter on Circular 62 to the State Council and the Ministry of Finance

2015-03-13 | All chapters

The letter states that there is a need for the State Council and the Ministry of Finance to clarify that:

- Circular 62 is only applicable for future cases;
- Past or ongoing preferential policies that have been explicitly approved by local authorities will not be claimed retroactively based on Circular 62;
- Define clear criteria and requirements for existing locally-approved financial incentives to be approved or maintained by the Central Government in the future;
- In the future, companies enjoying preferential policies approved by the State Council in compliance with Circular 62 shall receive an official document from the Central Government confirming the exact scope, duration and content of the said preferential policy;
- If against our petition an ongoing preferential policy, approved by local authorities, is deemed to be cancelled or suspended due to the implementation of Circular 62, a reasonable grace period shall be granted to the company in order to limit the impact on its operations and on the local economy. The end of 2015, which marks the end of the 12th Five Year Plan seems a reasonable timeframe.