China
China, Myanmar, North Korea listed as ‘worst of worst’ in freedom report
The Chinese Communist Party plays “a leading role in promoting authoritarian norms” around the world as some leaders show a willingness to collaborate in spreading new forms of repression, according to a report from Washington-based think tank Freedom House.
However, even as democratic freedom suffers global setbacks, fundamental rights continue to have “an appeal and capacity for renewal” in places like Myanmar, where people have shown they are willing to risk their lives in pursuit of freedom, the report found.
Among the 56 countries listed as “Not Free” around the world, North Korea, China and Myanmar were listed as among “the worst of the worst.” Additionally, out of 39 countries in the Asia-Pacific region, nine were listed as “not free” and 13 were deemed only “partly free.”
“Political rights and civil liberties declined across the region as authoritarian forces moved to consolidate their power,” the report said. “The trend was most dramatic in Afghanistan and Myanmar, where elected civilian leaders were forced from office.”
The report noted the arrests in early 2022 of prominent pro-democracy politicians in Hong Kong who took part in primary elections to consolidate the democratic opposition. They continued to be detained through December’s Legislative Council balloting – something that Freedom House said “underscored Beijing’s success in dismantling the territory’s semi-democratic institutions.”
Crackdowns in Asia also affected journalists and civil society movements, especially in countries whose institutions were already vulnerable, the report said.
China, Myanmar
“In China, one of the world’s most restrictive media environments, journalists faced heightened scrutiny and rigorous political indoctrination when attempting to renew their press licenses, and even individuals who engaged in solitary forms of protest were punished with prison sentences,” it said.
The biggest contraction in freedom took place in Myanmar, which has seen the widespread arrests of civilian political leaders following the 2021 military coup d’etat, Freedom House said.
“Over a thousand people have been killed as security forces crack down on pro-democracy protests, and thousands of others have been thrown in jail and tortured,” the report said. “The military authorities imposed curfews, repeatedly shut down the internet, raided universities, and searched for human rights defenders and pro-democracy activists to arrest.”
The country’s recent turmoil is “another sign that international deterrents against antidemocratic behavior are losing force,” the report said. However, Freedom House noted that “a widespread civil disobedience movement against the military coup has persisted in the face of violent reprisals.”
Resistance has denied the military regime “legitimacy and crippled its ability to function as a government, reflecting both the people’s commitment to democracy and the power it gives them to shape events.”
In Singapore, authorities forced one of the few independent news outlets to close after its license was suspended. And in Thailand, authorities expanded their ability to prosecute people for publishing news that could incite fear in the public.
China’s leading role
Worldwide, the enemies of liberal democracy “are accelerating their attacks” as regimes “have become more effective at co-opting or circumventing the norms and institutions meant to support basic liberties, and at providing aid to others who wish to do the same,” the report said, noting that there have been 16 consecutive years of decline in global freedom.
“The leaders of China, Russia, and other dictatorships have succeeded in shifting global incentives, jeopardizing the consensus that democracy is the only viable path to prosperity and security, while encouraging more authoritarian approaches to governance,” it said.
The Chinese Communist Party “offers an alternative to democracies as a source of international support and investment, helping would-be autocrats to entrench themselves in office, adopt aspects of the CCP governance model, and enrich their regimes while ignoring principles like transparency and fair competition,” the report said.
“At the same time, the CCP has used its vast economic clout and even military threats to suppress international criticism of its own violations of democratic principles and human rights, for instance by punishing governments and other foreign entities that criticize its demolition of civil liberties in Hong Kong or question its expansive territorial claims.”
Freedom House pointed to a Marriott hotel’s refusal to host a November 2021 World Uyghur Congress gathering in the Czech Republic, saying it preferred to observe “political neutrality.” New Zealand’s Parliament also refrained from identifying Beijing’s actions in Xinjiang province as a genocide after the trade minister said such language could hurt economic relations with China.
Turkey was once a haven for Uyghurs fleeing China, but the country “has increasingly shifted its stance to meet Beijing’s demands” by making it more difficult for Uyghurs to obtain permanent residence permits, the report found.
Edited by Malcolm Foster.
Read the rest of this article here >>> China, Myanmar, North Korea listed as ‘worst of worst’ in freedom report
China
China Provides Tax Incentives on Special Equipment for Green and Digital Development
China has introduced a new tax incentive for companies investing in digital and smart upgrades of special equipment to encourage environmental protection and safe production. Companies can enjoy a 10 percent deduction from their corporate income tax payable. Eligibility and requirements are outlined by the Ministry of Finance and State Tax Administration.
A new China tax incentive aims to encourage companies to invest in digital and smart upgrades of special equipment. Companies upgrading certain equipment that aids environmental protection and safe production can enjoy a deduction of the investment at a rate of 10 percent from their corporate income tax payable. We explain the requirements of the new tax incentive.
China’s Ministry of Finance (MOF) and State Tax Administration (STA) have issued a new preferential corporate income tax (CIT) incentive for companies investing in digital and intelligent transformations of certain types of equipment. To be eligible for the incentive, companies must invest in the digital and intelligent transformation of equipment related to energy and water conservation, environmental protection, and safe production.
The new tax incentive aligns with a State Council Action Plan, released in March 2024, which aims to accelerate the renewal of large-scale equipment and consumer goods, promoting high-quality development and driving investment and consumption for long-term benefits.
If the annual CIT payable is insufficient for the offset, it can be carried forward to future years for up to five years.
The CIT payable refers to the balance after multiplying the annual taxable income by the applicable tax rate and deducting the tax reductions and exemptions according to China’s CIT Law and relevant preferential policies.
Note that companies enjoying the tax incentives must use the transformed equipment themselves. If the equipment is transferred or leased within five tax years after the transformation is completed, the incentives must stop from the month the equipment is no longer in use, and the previously offset CIT must be repaid.
The “special equipment” eligible for the preferential tax treatment covers equipment purchased and used by companies listed in the Catalog of Special Equipment for Safe Production for Corporate Income Tax Incentives (2018 Edition) and the Catalog of Special Equipment for Energy Saving, Water Conservation, and Environmental Protection for Corporate Income Tax Incentives (2017 Edition).
This article is republished from China Briefing. Read the rest of the original article.
China Briefing is written and produced by Dezan Shira & Associates. The practice assists foreign investors into China and has done since 1992 through offices in Beijing, Tianjin, Dalian, Qingdao, Shanghai, Hangzhou, Ningbo, Suzhou, Guangzhou, Dongguan, Zhongshan, Shenzhen, and Hong Kong. Please contact the firm for assistance in China at china@dezshira.com.
China
Revealing the Encouraged Industries of Hainan in 2024: Unlocking Opportunities
The 2024 Hainan Encouraged Catalogue, issued by the NDRC, MOF, and STA, aims to boost industries in the Hainan Free Trade Port. It prioritizes sectors like tourism, modern services, and high technologies, offering incentives for foreign investment and market access expansion since 2020. The Catalogue includes 176 entries across 14 categories, with 33 new additions focusing on cultural tourism, new energy, medicine and health, aviation, aerospace, and environmental protection.
The National Development and Reform Commission (NDRC), in collaboration with the Ministry of Finance (MOF) and the State Taxation Administration (STA), has issued the Catalogue of Industries Encouraged to Develop in Hainan Free Trade Port (2024 Version), hereinafter referred to as the “2024 Hainan Encouraged Catalogue.” The updated Catalogue took effect on March 1, 2024, replacing the previous 2020 Edition.
Beyond the industries already addressed in existing national catalogues, the new entries in the 2024 Hainan Encouraged Catalogue are based on practical implementation experiences and the specific needs within Hainan, prioritizing sectors such as tourism, modern services, and high technologies.
The Hainan FTP has been providing incentives to draw investors to invest and establish businesses in the region, especially foreign investment. Alongside a phased approach to opening the capital account and facilitating free capital movement, Hainan has significantly expanded market access for foreign enterprises since 2020, particularly in sectors such as telecommunications, tourism, and education.
The Hainan Encouraged Catalogue comprises two main sections:
Similar to the approach adopted by the western regions, foreign-invested enterprises (FIEs) should always implement their production or operations in accordance with the Catalogue of Encouraged Industries for Foreign Investment.
On top of the industries already addressed in existing national catalogues, the 2024 Hainan Encouraged Catalogue encompasses 14 distinct categories and a total of 176 entries especially encouraged in the region, including 33 new additions compared to the 2020 Edition. These new entries predominantly span cultural tourism, new energy, medicine and health, aviation and aerospace, and ecological and environmental protection, among others.
This article is republished from China Briefing. Read the rest of the original article.
China Briefing is written and produced by Dezan Shira & Associates. The practice assists foreign investors into China and has done since 1992 through offices in Beijing, Tianjin, Dalian, Qingdao, Shanghai, Hangzhou, Ningbo, Suzhou, Guangzhou, Dongguan, Zhongshan, Shenzhen, and Hong Kong. Please contact the firm for assistance in China at china@dezshira.com.
China
Key Guidelines for Companies in Compliance Audits for Personal Information Protection Standards
China’s standards authority has released draft standards for personal information protection compliance audits, potentially making them mandatory for companies in 2023. The audits will require companies to undergo annual or biennial checks based on the number of people’s information they handle. The draft standards outline the audit process and requirements, seeking public feedback until September 11, 2024.
China’s standards authority has released draft standards for conducting personal information protection compliance audits. Regular compliance audits to ensure compliance with personal information protection regulations may become a requirement for companies in China under draft measures released in 2023. We explain the audit processes and requirements proposed in the draft standards.
The Standardization Administration of China (SAC) has released a set of draft standards for conducting personal information (PI) protection compliance audits. Under draft measures released by the Cyberspace Administration of China (CAC) in August 2023, companies that process the PI of people in China are required to undergo regular compliance audits.
Specifically, companies that process the PI of over one million people must undergo a compliance audit at least once a year, while companies that process the PI of under one million people must carry out an audit at least once every two years.
While the draft measures stipulate the obligations of the auditing body and the audit scope, the draft standards outline the specific audit process, including evidence management and permissions of the audit organization, as well as the professional and ethical requirements of auditors.
The Secretariat of the National Cybersecurity Standardization Technical Committee is soliciting public feedback on the draft standards until September 11, 2024. Public comment on the draft measures released in August last year closed on September 2, 2023, but no updated document has yet been released.
The draft standards outline five stages of the PI protection compliance audit: audit preparation, implementation, reporting, problem rectification, and archiving management.
Auditors are required to accurately document identified security issues in the audit working papers, ensuring that the records are comprehensive, clear, and conclusive, reflecting the audit plan and its execution, as well as all relevant findings and recommendations.
This article is republished from China Briefing. Read the rest of the original article.
China Briefing is written and produced by Dezan Shira & Associates. The practice assists foreign investors into China and has done since 1992 through offices in Beijing, Tianjin, Dalian, Qingdao, Shanghai, Hangzhou, Ningbo, Suzhou, Guangzhou, Dongguan, Zhongshan, Shenzhen, and Hong Kong. Please contact the firm for assistance in China at china@dezshira.com.
- China Provides Tax Incentives on Special Equipment for Green and Digital Development
- Revealing the Encouraged Industries of Hainan in 2024: Unlocking Opportunities
- Key Guidelines for Companies in Compliance Audits for Personal Information Protection Standards
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