The company’s investment in the patented technology applied for by its own research and development involves value-added tax, and there are no special provisions in the tax law to provide tax incentives.
You may refer to the following regulations:
1. Attachment 3 of Finance and Taxation [2013] No. 37 "Transitional Policy for the Pilot Program of Replacing Business Tax with Value-Added Tax in the Transportation Industry and Some Modern Service Industries" The Regulations only mention the preferential treatment of "pilot taxpayers who provide technology transfer, technology development and related technical consulting and technical services are exempt from value-added tax" and do not involve investment or shareholding.
2. The "Implementation Regulations of the Individual Income Tax Law" stipulate that income from royalties refers to the income obtained by individuals from providing the right to use patent rights, trademark rights, copyrights, non-patented technologies and other franchises. When a natural person invests in shares with the right to use non-patented technology, provides proprietary technology to a company and obtains the company's equity, it is considered as providing other forms of economic benefits (company equity) by providing the right to use non-patented technology. The natural person should pay "royalty income" Personal income tax.