According to relevant spirit of Suggestions on Deep Implementation of the Western Development Strategy by the CPC Central Committee and the State Council, Guanzhong - Tianshui Economic Zone Development Plans, and Policies of Shaanxi Provincial People’s Government for Accelerating Development of the Xi Xian New Area, the following preferential policies shall be for development and construction of Xi Xian New Area.
Article I Reduce tax rate of business income tax to 15% for encouraged industrial enterprises located at Xi Xian New Area.
Reduce tax rate of business income tax to 24% for general productive enterprises with foreign investment which have operated for over Ten years. For newly established productive enterprises with foreign investment, income tax is exempted for the first two years from the first profit-making year; reduce tax rate of business income tax to 12% from the third year to the fifth year.
For export enterprises with foreign investment and the export output reaching over 70% of gross output of the same year, reduce tax rate of business income tax to 10% for the same year.
For enterprises with foreign investment, annual losses can be redeemed with incomes of the next year; if incomes of the next year can not redeem all the loss, it can be redeemed year by year with a maximum of five years.
For approved high and new tech enterprises with domestic investment, reduce tax rate of business income tax to 15%. Business income tax of newly founded high and new tech enterprises can be exempted for two years from the year starting business.
Article II For earnings from investment and operation of specially supported public infrastructure project and incomes of eligible environmental protection, energy conservation, and water saving projects, enterprises shall enjoy the preferential policy of “exemption of business income tax for the first five years and halving the business income tax from the sixth year to the tenth year”.
Article III For encouraged industries with domestic and foreign investment, as well as competitive industry projects with foreign investment, self-use equipment imported within the aggregate investment can be exempted from customs duty and import value-added tax.
Article IV For resource-based enterprises with investment in Xi Xian New Area, deduction before taxe is permitted for special funds of environmental protection and ecological restoration and the like withdrawn from resource development in Shaanxi.
Article V Business tax, value-added tax and business income tax are exempted for key energy saving service business implementing contract energy management project within Xi Xian New Area.
Article VI For venture capital enterprises with equity investment in unlisted small and medium-sized high tech enterprises for over two years (including) and living up to rated conditions, 70% of the amount of investment in the small and medium-sized high tech enterprises can be balanced as taxable income of the venture capital enterprises; in case of insufficient taxable income in the current year, the amount can be balanced year by year continuously during the coming tax years.
Article VII Support development of non-governmental economy; for private enterprises in the National Top 500 which pay taxes in Xi Xian New Area, one-time award shall be given with 1% of remaining part for the region from actual ratal of the enterprise.
Article VIII Implement tax preference for technology advanced service outsourcing enterprises and demonstration zone; support the technology research and development, as well as self-dependent innovation thereof. Exempt resident enterprises in software and service outsourcing enterprises from business income tax for the part less than RMB five million Yuan of the technology transfer income; halve the collection of business income tax for the part surpassing RMB five million Yuan.
Article IX Guarantee the construction land of project settled in Xi Xian New Area. Land supply and land plan target of Xi Xian New Area are listed independently; average land supply volume of Xi Xian New Area occupies 30% of that of the whole province. The provincial government supports first try of Xi Xian New Area in respect of land utilization and management, and supports off-site delimiting, linking of increase and decrease, and balance of requisition and compensation of the land within the whole province.
Article X Land value preference of related industries is practiced in Xi Xian New Area. Lowest standard of industrial land transferring fees are executed according to 10%-50% of National Bottom Price Standard for Industrial Land Transfer. Financial institution project land is given priority to bring into land supply plans; after invitation for bid, auction, and listing of the needed land are conducted in accordance with relevant national laws and regulations, financial support is given within 30% of the price of transferred land.
Article XI Urban infrastructure facility fees, household garbage disposing fees and sewage charge paid for investment of key pilot town construction in Xi Xian New Area should be returned in full amount for infrastructure construction and maintenance. An increase and decrease linking target for 1500 mu of land is provided for each key pilot town, so as to encourage replacement of countryside homestead into urban housing.
Article XII Give priority to overall arrangement of key projects accredited or authorized by the Central Party Committee and provincial government, such as water conservancy, traffic, environment, characteristic agriculture, physical distribution, culture, tourism and so on in Xi Xian New Area. Support local processing and transforming of resources with market and benefit. Assort investment of the Central Party Committee with investment of provincial government; increase intensity of payment for generalized financial transfer payment and special projects like infrastructure, environment, key projects, industrial development, public service, etc.; continuously transform government loan enlending fund of part public welfare projects into allocation of funds.
Article XIII Xi Xian New Area is jointed with Northern Shaanxi’s energy base construction. Enterprises with important industrial investment in Xi Xian New Area within five years can take precedence in Northern Shaanxi’s resource development. Encourage resource development enterprises in Shaanxi to participate in construction of Xi Xian New Area besides enjoying relevant tax preference. Implement linking between cost of two rights (exploration right and mineral right) for Northern Shaanxi’s energy and construction of Xi Xian New Area.
Article XIV Enterprises with investment in B area of the National Xi’an comprehensive bonded zone in airport town of Xi Xian New Area can enjoy relevant national bounded logistics and port clearance preferential policies, equal to Xi'an International Trade and Logistics Park.