Company: NOAH
Filing Date: 2025-04-24
Form Type: 20-F
Source: 0001410578-25-000852
Chunk: 238

Company: NOAH HOLDINGS LTD
Filing Date: 2025-04-24
Form: 20-F
Item: Item 10
Chunk 238
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 material to us. In addition, there may be tax consequences if we are, for example, involved in any transfer or conveyance of immovable property in the Cayman Islands. The Cayman Islands is not party to any double tax treaties that are applicable to any payments made to or by us and there are no exchange control regulations or currency restrictions in the Cayman Islands.
People’s Republic of China Taxation
The mainland China enterprise income tax is calculated based on the taxable income determined under the laws and accounting standards of mainland China. Under the EIT Law and the EIT Implementation Rules, all domestic and foreign-invested companies in mainland China are subject to a uniform enterprise income tax at the rate of 25% and dividends from a mainland China subsidiary to its foreign parent company are subject to a withholding tax at the rate of 10%, unless such foreign parent company’s jurisdiction of incorporation has a tax treaty with mainland China that provides for a reduced rate of withholding tax, or the tax is otherwise exempted or reduced pursuant to the tax laws of mainland China. Zhong Lun Law Firm advises us that since there is currently no such tax treaty between mainland China and the Cayman Islands, dividends we receive from our mainland China subsidiaries will be subject to a 10% withholding tax; in addition, we may be able to enjoy the 5% preferential withholding tax treatment for the dividends we receive from our mainland China subsidiaries through Noah Insurance, according to Tax Arrangement between mainland China and Hong Kong, if they satisfy the conditions prescribed under relevant tax rules and regulations, and obtain the approvals as required under those rules and regulations. See “Item 4. Information on the Company—B. Business Overview—Regulations in China—Regulations on Tax.”
Under the EIT Law, enterprises organized under the laws of jurisdictions outside mainland China with their “de facto management bodies” located within mainland China may be considered mainland China resident enterprises and therefore subject to mainland China enterprise income tax at the rate of 25% on their worldwide income. The EIT Implementation Rules define the term “de facto management body” as the management body that exercises full and substantial control and overall management over the business, productions, personnel, accounts and properties of an enterprise. In addition, according to a circular issued by the SAT in April 2009, a foreign enterprise controlled by a mainland China company or a mainland China company group will be classified as a “resident enterprise” with its “de facto management bodies” located within mainland China if the following requirements are satisfied: (