The proportion of bonus and welfare funds for employees of foreign-invested enterprises is decided by the board of directors, which is generally about 5% of after-tax profits. The proportion of reserve funds for Chinese-foreign joint ventures and Chinese-foreign cooperative ventures shall be decided by the board of directors. The withdrawal ratio of the reserve fund of a foreign-capital enterprise shall not be less than 10% of the after-tax net profit. If the accumulated withdrawal amount reaches 50% of its registered capital, it shall not be withdrawn. The proportion of Chinese-foreign equity joint ventures and Chinese-foreign cooperative enterprises to withdraw enterprise development funds shall be decided by the board of directors, and foreign-capital enterprises shall not withdraw enterprise development funds.

1, "Accounting System for Business Enterprises" stipulates that general enterprises and joint stock limited companies shall withdraw statutory surplus reserves, discretionary surplus reserves and statutory public welfare funds as required. From June 5438+1 October1day, 2002, foreign-invested enterprises shall implement the provisions of the Accounting System for Enterprises. Therefore, foreign-invested enterprises should accrue surplus reserves.

2. According to the provisions of Article 58 of the Detailed Rules for the Implementation of the Law of People's Republic of China (PRC) on Foreign-funded Enterprises, the profits of foreign-funded enterprises after paying income tax in accordance with the provisions of China tax law shall be drawn from the reserve fund and the employee bonus and welfare fund. Article 110 of the enterprise accounting system stipulates that the net profits realized in the current period, together with undistributed profits at the beginning of the year (or minus losses made up at the end of the year) and other carry-over balances, can be distributed. Profits available for distribution are distributed in the following order: (1) legal surplus reserve is withdrawn; (2) Withdrawing the statutory public welfare fund. Enterprises with foreign investment shall, in accordance with the provisions of laws and administrative regulations, draw reserve funds, enterprise development funds, employee incentives and welfare funds according to their net profits. General enterprises and joint stock limited companies should draw statutory surplus reserve, arbitrary surplus reserve and statutory public welfare fund according to regulations, but for foreign-funded enterprises, they should draw provident fund instead of surplus reserve.