SAT clarifies corporate income tax treatment of equity incentive compensation plans

SAT clarifies corporate income tax treatment of e...

China alert - Issue 13, June 2012  

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SAT clarifies corporate income tax treatment of equity incentive compensation plans

On 23 May, 2012, the State Administration of Taxation (SAT) released Announcement [2012] No. 18 (Announcement 18) to clarify corporate income tax (CIT) treatment related to equity incentive compensation plans (EICP) instituted by Chinese resident enterprises. Announcement 18 will take effect on 1 July, 2012.

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