Applicability review and filing support for the Free Trade Port's preferential corporate and individual income tax positions, and for the talent recognition the individual cap depends on.
What this covers
- Applicability review for the reduced corporate income tax rate, against both catalogue and substance conditions
- Applicability review for the capped individual income tax rate available to qualifying talent
- Talent recognition applications prepared and tracked for eligible individuals
- Supporting documentation assembled and retained to the standard an assessment expects
- Coordination with the licensed firm carrying the entity's filings, so the position taken is reflected consistently
- Annual re-confirmation that the conditions still hold, before the position is taken again
Our services
Two positions, both conditionalThe reduced corporate rate and the capped talent rate are claimed on a filing — the exposure sits with the taxpayer.
The Free Trade Port offers two headline positions: a reduced corporate income tax rate for enterprises in encouraged industries, and a capped individual income tax rate for high-end and urgently-needed talent. Both are conditional, both are assessed against the entity's or individual's actual situation, and both are claimed on a filing — which means the exposure for getting them wrong sits with the taxpayer, not with whoever suggested it.
Not a one-time testA business that qualified in year one may not on year-three facts; the position is re-taken every year.
The corporate position depends on the two conditions covered elsewhere in this practice area: falling inside the encouraged catalogue, and genuinely operating substantively in Hainan. Neither is a one-time test. A business that qualified in its first year and then shifted its revenue mix, or quietly moved its decision-making back to head office, is taking a position in year three that its year-one facts supported and its year-three facts may not.
Talent recognition sequenced with the visaThe same relocation generates both and the evidence overlaps; discovering the route a year in is the common miss.
The individual cap runs on a separate track, through recognition of the individual as qualifying talent. That is worth sequencing alongside the work permit rather than after it — the same relocation generates both, the supporting evidence overlaps substantially, and an executive who discovers the route a year in has usually already filed on the standard basis.
Scoped by us, filed through the licensed firmWe set the position and check what is filed matches it, against the rules currently published.
We review applicability against the current conditions, prepare and track the talent recognition applications, and assemble the supporting documentation to the standard an assessment expects rather than the minimum a form requires. The filings themselves run through the licensed firm that carries the entity's tax compliance, with us scoping the position and checking that what is filed matches it. Rates, conditions, and recognition criteria are set by the authorities and are revised periodically; we confirm against the current published rules for each engagement and do not treat a prior year's position as carried forward.
Why choose HainanInc?
Applicability reviewed against both catalogue and substance conditions
Conditions re-confirmed annually before the position is taken again
Talent recognition sequenced alongside the work permit, not after it
All Hainan FTP Incentives and Substance services
- Encouraged Industry Eligibility
- Substantive Operation Compliance
- Preferential Tax Position Support
- Zero-Tariff and Customs Readiness
- Park and Site Selection