ⅠTax Advantages
(Ⅰ)Foreign Investment Enterprises
1. Within the three years after completing the carrying out of the present tax preferential policy, the foreign investment enterprises that are encouraged or second-class limited will be  levied taxes on enterprises income at the  rate of 15% .If the enterprises confirmed as  products-exporting which export over 50% of the current products, the excess of 10% of the current income taxes, which are turned over to the state by the enterprises will be used in the technical innovation of the enterprise’s export products, from the same level financial special expenditure.

2. If the investor of a foreign investment enterprise reinvests the profits made in the enterprise into  the  same  enterprise  and  increases  registered capital or uses the profits as the capital to reinvest in starting other enterprises whose management period is not less than 5 years, 40 percents taxes of the paid enterprise income taxes of the reinvestment will be returned after investor’s application and the approval of the tax office .  If the foreign investor reinvest his profits made in the enterprise in  starting  and  expanding the enterprises of export products or advanced techniques, all the paid enterprise income taxs of the reinvestment will be returned.

3. If the technical exploitation cost if foreign investment increases by over 10% (10% included) than the previous year, 50% of the actual occurrence amount of the technical exploitation cost will be allowed to compensate for the tax payable after the tax office’s approval.

4. If a productive foreign investment enterprise that belongs to the enterprise encouraged by the Autonomous Region operates more than ten years, the enterprise income taxes will be first levied, then returned within 5 years from the profit-making year, after the approval by the local tax office; the 25% of the local retained part of VAT will be returned in full from the local finance within 5 years after it goes into operation. If a productive newly-built, extended foreign investment enterprise, which invests in new high-tech industries or environment protection industries, is managed for more than ten years, then from the sixth year to the tenth year, the local retained part of the enterprise income taxes paid by the enterprise will be used in technical innovation and product exploitation from the local financial special fund.

5. If a foreign investment enterprise, which is engaged in public service trade, and whose investment is more than $5,000,000 dollars, is operated for over ten years, and if it pays the income taxes according to the fixed rate, then 50% of its income taxes will be returned by the local tax office, since the profit-making year.

(Ⅱ) Domestic Investment Enterprises

1. If investors outside the city come to start enterprises that are allied with any urban ones, then from the profit-making year, they shall be exempt from enterprise income taxes within three years, and after finishing tax exemption, they will be levied half of the enterprise income taxes. If they invest in the enterprises encouraged by the Autonomous Region, they’ll be lifted the enterprise income taxes within 5 years, from the profit-making year and after the approval by the local tax authority; the local retained part of VAT will be returned in 50% by the local financial department from the operation within three years. If a productive newly-built and extended domestic investment enterprise, which invests in starting newly high-tech industries, and environment protection industries, is operated for over ten years, then from the sixth year to the eighth year, it will pay half of the enterprise income taxes, which will be used in the enterprise’s technical innovation and product development from the local special financial fund.

2. The allied projects that transform our city’s loss-making enterprises are allowed to compensate for the loss with the enterprises’ actual profits, and after covering the deficit, they will be again exempt from enterprise income taxes for three years.

(Ⅲ)High-consumed Energy Enterprises

1. Any enterprises that are engaged in high-consumed energy production in keeping with the national industry policy all enjoy favorable electric price, and they will actually pay of 0.256 yuan per KWH.

2. No land-sale charges are levied, and the only half cost of supporting projects of urban basic facilities and half extra charges of urban construction are levied.

Ⅱ.PREFERENTIAL POLICY OF USING LAND

Within the city, investors can get right to use land by employing various forms permitted by the national laws and regulations, such as appropriation, purchase, lease. They will enjoy the corresponding preferential policies of using land given by Wuhai municipal government.

Ⅲ.CHARGE

Wuhai municipal government cancels the administrative expenses without basis of laws and regulations and without  approval  of  the local government of Autonomous Region. As for the administrative expenses stipulated by the country and Autonomous Region, if there are scales of charges, charges are imposed according to minimum limits without exception.

Ⅳ.SERVICE FOR INVESTMENT

1. As to investment projects, the city carries out the “One-hall” service, handling nonrecurring procedure.

2. If the legal right of the investment enterprises are infringed, they may complain to the department concerned, or may prosecute directly to the People’s Court.

Ⅴ.REWARD

1.To the intermediary organizations or individuals who directly introduce the investment, the beneficiary should give reward according to the contract, and bounty is 0.5-1% of the actually invested capital.

2. The people who introduce capital endowment without compensation should be given 10-20% of the amount of the capital endowment.