According to the Notice of the Ministry of Finance of People's Republic of China (PRC), State Taxation Administration of The People's Republic of China on Some Preferential Policies for Enterprise Income Tax (Caishui [2008] 1):

Two. Preferential policies to encourage the development of securities investment funds

(1) The income obtained by securities investment funds from the securities market, including the price difference income from buying and selling stocks and bonds, dividend income from equity, interest income from bonds and other income, will not be levied for the time being.

(2) No enterprise income tax is levied on the income obtained by investors from the distribution of securities investment funds.

(3) No enterprise income tax will be levied on the difference income of securities investment fund managers who use funds to buy and sell stocks and bonds.

overhead information

1, investment contract or agreement;

2. Proof of holding listed stocks 12 months or more continuously;

3, investment income, dividends receivable ledger or monthly summary;

4. Resolutions and announcements made by the board of directors of the invested enterprise on profit distribution and other supporting materials on profit distribution;

5. The certification materials that the investor or the investee belongs to the resident enterprise.