According to the Notice of the Ministry of Finance of State Taxation Administration of The People's Republic of China on Tax Issues Concerning Open-end Securities Investment Funds (Caishui [2002] 128):

(1) Individual income tax will not be levied on the difference income obtained by individual investors from purchasing and redeeming fund shares until the individual income tax on the difference income from buying and selling stocks is resumed;

(2) 20% of personal income tax will be withheld and remitted by listed companies, bond issuing enterprises and banks when the dividend income from stocks, bonds and savings deposits obtained by the Fund are paid to the Fund; Individual income tax and enterprise income tax will not be levied on the income obtained by investors (including individual and institutional investors) from fund distribution.