According to the Enterprise Income Tax Law of People's Republic of China (PRC) and its implementing regulations, the transfer of fixed assets between enterprises should be based on the net value of the buyer at the time of purchase, where the net value = original value-depreciation, and the original value of the buyer's fixed assets = purchase price. Therefore, if the net value of fixed assets is transferred between affiliated companies, tax adjustment should not be made according to the principle of net value transfer.

However, if there is a fictitious transaction in the transfer process and the price is obviously higher than the market price, the tax authorities may adjust the income calculation of the transaction, which may lead to tax adjustment. At the same time, if there are transnational transactions, it may involve the provisions of relevant tax treaties. Considering the complexity of tax policies and tax-related affairs, please understand and abide by the provisions of relevant laws and regulations in advance.