I. Obligation of the Company to Pay Stamp Duty on Foreign Investment

When a company invests abroad, whether through equity investment, debt investment or other forms of investment, it will involve signing an investment contract or agreement with the other party. According to the relevant provisions of the Stamp Tax Law of People's Republic of China (PRC), these contracts or agreements are one of the taxable objects of stamp duty. Therefore, when companies invest overseas, they need to pay stamp duty according to law.

Two. Tax basis and tax rate of stamp duty

The tax basis of stamp duty is the amount stipulated in the contract or agreement. The tax rate varies according to the type of contract or agreement. For details, please refer to the Stamp Tax Law of People's Republic of China (PRC) and its implementing rules. When calculating the stamp duty payable, the company needs to calculate according to the type, amount and corresponding tax rate of the contract or agreement.

Three. Declaration and payment of stamp duty

After the company's foreign investment is completed, it shall report to the tax authorities in time and pay stamp duty. When applying, you need to provide supporting materials related to the investment contract or agreement, such as the original contract, copy or electronic data. The tax authorities will notify the company to pay the corresponding stamp duty after verification. The company should complete the payment of stamp duty according to the specified time node to avoid unnecessary losses such as fines or late fees due to overdue.

Four, strengthen the management of stamp duty, to prevent tax risks.

In order to avoid the tax risks caused by stamp duty, the company should strengthen the management and monitoring of stamp duty. On the one hand, the company should establish and improve the internal control system to ensure that the signing, examination and declaration of foreign investment contracts meet the requirements of laws and regulations; On the other hand, the company should strengthen the study and publicity of stamp tax laws and regulations, and improve employees' awareness of tax payment and compliance.

To sum up:

The company's foreign investment needs to pay stamp duty. In the process of foreign investment, the company should understand the tax obligation, tax basis and tax rate of stamp duty, and complete the declaration and payment of stamp duty according to the specified time node. At the same time, the company should also strengthen the management and monitoring of stamp duty to prevent tax risks.

Legal basis:

People's Republic of China (PRC) Stamp Tax Law

Article 1 stipulates:

Units and individuals that issue taxable vouchers and conduct securities transactions in People's Republic of China (PRC) are taxpayers of stamp duty and shall pay stamp duty in accordance with the provisions of this Law.

Article 2 provides that:

Taxable vouchers referred to in this Law refer to contracts, property rights transfer documents and business account books listed in the stamp duty rate table attached to this Law.

Article 5 provides that:

Tax basis for stamp duty is as follows:

(1) The taxable basis of a taxable contract is the amount listed in the contract, excluding the specified value-added tax;

(2) The taxable basis of the taxable property right transfer certificate is the amount listed in the property right transfer certificate, excluding the specified value-added tax;

(3) The taxable business account books are based on the paid-in capital (share capital) and total capital reserve recorded in the account books;

(4) The tax basis of securities trading is the transaction amount.