The Japanese Ministry of Finance announced that Japan and China (People's Rep.) have come to an agreement that the tax sparing credit which is stipulated in Art. 23 Para. 4(c) of the Japan-China tax treaty continues to be effective after the new Chinese domestic law for promoting economic development has become effective. Under the former Income Tax Law of the People's Republic of China for Enterprises with Foreign Investment and Foreign Enterprises (the Old Law), the tax treaty allowed the tax sparing credit for Chinese taxpayers on the tax exempted, reduced or refunded according to the tax incentive provisions mentioned...