Caofeidian gives up tax income to lure Beijing factories  

河北曹妃甸吸引北京外迁企业 企业所得税北京缴

在河北唐山首钢总公司里有一块8平方公里的土地，这里未来要建设总部经济基地，承接北京市所有外迁企业的总部，唐山曹妃甸区副区长张贵宝说，之所以能够与北京市达成这样一个协议，关键是实行了一个分税制的办法，让一些困难问题迎刃而解。[查看全文]

(ECNS) – Caofeidian, a district of Hebei's Tangshan city, will give up part of its corporate income tax to lure Beijing factories to build their headquarters there, the China Broadcasting Network reports.

Caofeidian has struck a deal with Beijing to accommodate factories which will relocate their headquarters to an 800-hectare parcel of land located at the headquarters of Shougang Steel Co., Ltd.

According to China's taxation policy, corporate taxes are levied by the government according to where the company is headquartered, not where it operates. But Caofeidian is willing to give up the tax income so that Beijing will give the green light to the companies moving to the district, says Caofeidian's deputy district chief Zhang Guibao.

Zhang says it would still be beneficial to Caofeidian, as the district would see its business activities increase.

Beijing and adjacent Hebei province and Tianjin city are pushing forward an economic integration plan, shifting some of the stress away from Beijing to its less developed neighbors.