(1) Foreign enterprises that own production facilities in China are taxed at a rate of 30% nationally, and 3% locally. This calculation is based on the taxable income of the business enterprise.
(2) Foreign-funded enterprises are taxed at the same rate as foreign enterprises with production facilities described in (1) above.
(3) Foreign enterprises that do not establish production facilities in China, but obtain income from interest, profits, rental fees, franchise royalties, etc. are taxed at 20% of the income generated. This is a withholding tax.