Article 2 of Announcement No.42 stipulates that if an enterprise has one of the following seven relationships with other enterprises, organizations or individuals, A, B, C, D, E, F and G in the table are the "relationship type" codes filled in the new version of the relevant declaration form.

Specific judgment conditions of code relationship

G. Substantial relationship Both parties have other relations with the same interests in essence.

Paragraph 7 of Article 2 of Announcement No.42 stipulates that both parties have other substantially similar interests.

This paragraph is the bottom clause to determine the relationship. It is also the principle requirement and embodiment of "substance is more important than form" in the identification of related relations in tax law. Check whether the two parties are related. In addition to formally meeting the specific standards mentioned above, if the two parties fail to meet the prescribed standards in terms of mutual shareholding, loan, guarantee, operation, management and control, but they have important interests, such as * * * participating in project research and development, contracting projects, designing labor services, or providing major business activities such as material procurement and marketing for other enterprises, or * * * monopolizing the market and affecting market selection and pricing. , including other similar situations not listed. If both parties have the same interests with * * * or important * * * in the same business activity, they have other interests in essence, which can be considered as association. Of course, what is another beneficial * * *, and to what extent, all need to be carefully considered and grasped in enterprise management.