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China Expands Foreign Tax Credit Options

|Approved Changes|China
China

China's State Administration of Taxation has published Circular 84 of 28 December 2017 concerning the determination of foreign tax credits. Under China's standard foreign tax credit rules, resident enterprises and permanent establishments of non-resident enterprises are required to calculate tax credits on a per country/jurisdiction basis. Circular 84 provides that tax credits may instead be calculated on an aggregate basis including all foreign income from all countries/jurisdictions. Whene…

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