Policies

Financial policies:

1. Pingtan adopts a voluntary exchange system, which is an innovative move in the management of foreign exchange (FX). Once a foreign-funded enterprise has received verification of its foreign exchange capital, it can apply for FX-RMB settlement at designated banks at any time it chooses.

2. Enterprises are allowed to carry out self-disciplinary ratio management (which sets limits on the ratio between assets and liability to avoid financial risks) of their foreign loans including RMB.

3. Eligible enterprises in Pingtan are being encouraged to issue RMB bonds in Taiwan.

4. New Taiwan Dollars (NTD) are accepted in purchasing cross-Straits ferry tickets.

5. Banks and financial institutions, including those from Taiwan, are endorsed to set up subsidiaries in Pingtan.

6. Banks and financial institutions in Fujian are allowed to engage in NTD-RMB exchange business.

7. Qualified financial institutions from Taiwan can jointly set up securities companies and fund management companies in Pingtan.

8. Banks are allowed to open RMB and NTD trade current accounts to deal with inter-bank transactions.

9. Taiwan-funded enterprises are allowed to issue RMB bonds in Pingtan.

Tax policies:

1. Enterprises in the six main sectors of tourism, public facilities management, eco-environment protection, agricultural and marine industries, service sector, as well as high-tech industries are eligible to enjoy the 85 percent income tax deduction, which is valid until 2020.

2. Added-value taxes are exempt for Pingtan-Taiwan shipping business as well as offshore service outsourcing business.

3. Business taxes are exempt on the income of insurance companies from international shipping insurance offered for local enterprises.

4. Taiwan residents working in Pingtan are exempt from individual income tax.

5. Individuals can buy duty-free Taiwan products with a daily cap of 6,000 yuan at a Taiwan Aoqian Town, a local market exclusively dedicated to selling goods imported from Taiwan.

Policies for Taiwan residents in Pingtan

1.Taiwan residents are able to apply for temporary driving licenses, telephone cards and the Mainland Travel Permit for Taiwan Residents with the validity of five years in Pingtan.

2.Taiwan residents living in Pingtan are entitled to the same social welfare in accordance with the Chinese mainland's policies.

3.Taiwan residents with Taiwan-certificated licenses are permitted to work in fields such as architecture, healthcare and tourism in the area.

4.Taiwan-funded companies are able to apply for the government allowances ranging from 1,500 to 2,500 yuan ($227-$379) per Taiwan person recruited per month.

5.Taiwan professionals who want to start their own business in Pingtan are entitled to government services and the services including accommodation, rental and financial guarantees.

This English version is only for reference. To learn more, please refer to the authoritative Chinese version.