In order to encourage foreign and domestic enterprises to
invest in the garden, special preferential policies are
provided by Wuhan Municipality as follows:
The enterprise productive project in the garden is exempted
from municipal infrastructure compensation fees, extra
education fees, commercial net work fees, and civil defense
fees, Fixed assets investment adjustment is free from the tax.
The non-production auxiliary project according to their own
plan is exempted from the above-mentioned fees
In the garden, a newly built enterprise that deals with the
development of real estates including warehouse, official
building and factory building may also be exempted from income
taxes in the first two years. Enterprises in the garden are
exempted from administration fees.
Income tax rate to projects of energy, transportation and
ports will be 15%. Enterprises with operation period over 15
years will be half exempted from income taxes from the first
year that earn profits to the tenth year, Foreign investors
who reinvest their after-tax profits to infrastructure
projects for an operation period not less than 5 years will
have 40% of the income tax paid for the reinvestment sum
returned.
For equipment of foreign Hi-tech enterprises in the garden,
which is used in production, depreciation charges will be used
for improvement capital for enterprises.
The transnational companies, which have more than 3
productive or infrastructure companies in China and which have
had actual investment capital over 30 million USD, can apply
for establishing investment companies. The transnational
companies, which have established more than 3 foreign-owned
invested companies in Wuhan, can be approved to set up
group.