Company: ABLV
Filing Date: 2025-04-23
Form Type: 20-F
Source: 0001213900-25-034677
Chunk: 65

Company: Able View Global Inc.
Filing Date: 2025-04-23
Form: 20-F
Item: Item 3
Chunk 65
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 Bulletin 7, “ PRC taxable assets” include
assets attributed to an establishment in China, immoveable properties located in China, and equity investments in PRC resident enterprises,
in respect of which gains from their transfer by a direct holder, being a non-PRC resident enterprise, would be subject to PRC enterprise
income taxes. When determining whether there is a “reasonable commercial purpose” of the transaction arrangement, features
to be taken into consideration include: whether the main value of the equity interest of the relevant offshore enterprise derives from
PRC taxable assets; whether the assets of the relevant offshore enterprise mainly consists of direct or indirect investment in China or
if its income mainly derives from China; whether the offshore enterprise and its subsidiaries directly or indirectly holding PRC taxable
assets have real commercial nature which is evidenced by their actual function and risk exposure; the duration of existence of the shareholders,
business model and organizational structure of an overseas enterprise; the income tax payable abroad due to the indirect transfer of PRC
taxable assets; the replicability of the transaction by direct transfer of PRC taxable assets; and the tax situation of such indirect
transfer and applicable tax treaties or similar arrangements. In respect of an indirect offshore transfer of assets of a PRC establishment,
the resulting gain is to be included with the enterprise income tax filing of the PRC establishment or place of business being transferred,
and would consequently be subject to PRC enterprise income tax at a rate of 25%. Where the underlying transfer relates to the immoveable
properties located in China or to equity investments in a PRC resident enterprise, which is not related to a PRC establishment or place
of business of a non-resident enterprise, a PRC enterprise income tax at 10% would apply, subject to available preferential tax treatment
under applicable tax treaties or similar arrangements, and the party who is obligated to make the transfer payments has the withholding
obligation. Where the payor fails to withhold any or sufficient tax, the transferor shall declare and pay such tax to the tax authority
by itself within the statutory time limit. Bulletin 7 does not apply to transactions of sale of shares by investors through a public stock
exchange where such shares were acquired from a transaction through a public stock exchange. On October 17, 2017, the STA, issued the Announcement of the State Taxation Administration on Issues Concerning the Withholding of Non-resident Enterprise Income Tax at
Source, or Bulletin 37, which came into effect on