Article 28 of the Enterprise Income Tax Law stipulates that high-tech enterprises that need special support from the state shall be subject to enterprise income tax at a reduced rate of 15%.

The Ministry of Science and Technology, the Ministry of Finance and the State Taxation Administration of The People's Republic of China jointly issued the Administrative Measures for the Identification of High-tech Enterprises, which stipulates that enterprises with the qualification of high-tech enterprises supported by the state can go through the formalities of tax reduction or exemption with the competent tax authorities and enjoy preferential tax treatment from the state.