JC Master Legal News Issue 928

Key Takeaways for This Issue

The China Securities Regulatory Commission has issued the “Administrative Measures for the Registration of Securities Issuance by Companies Listed on the STAR Market (Trial).”

To implement the major decisions and arrangements of the CPC Central Committee and the State Council on establishing the STAR Market and piloting the registration-based system, and in accordance with the Securities Law and the Implementation Opinions on Establishing the STAR Market at the Shanghai Stock Exchange and Piloting the Registration-Based System, the China Securities Regulatory Commission, based on thorough research and grounded in the realities of China’s capital market, has formulated the Measures for the Administration of Securities Issuance Registration of Companies Listed on the STAR Market (Trial) (hereinafter referred to as the “STAR Market Refinancing Measures”), which shall take effect from the date of their promulgation.

The National Development and Reform Commission has allocated special funds to support cities that have been recognized with incentives by the State Council.

To implement the “Notice of the General Office of the State Council on Supervising and Commending Localities That Have Achieved Remarkable Results Through Diligent Implementation of Major Policies and Measures in 2019” (Guobanfa [2020] No. 9), the National Development and Reform Commission recently allocated the third batch of 2020 central budgetary investment for the construction of industrial transformation and upgrading demonstration zones and key industrial parks, supporting the development of key parks in 10 incentivized cities.

Two major initiatives by the tax authorities of five regions to support and facilitate the integrated development of the Yangtze River Delta have been implemented.

Recently, the tax authorities of Shanghai Municipality, Jiangsu Province, Zhejiang Province, Anhui Province, and Ningbo City jointly issued an announcement stating that, effective August 1, a unified list of minor tax violations subject to “no penalty for first-time offenses” will be implemented, along with a standardized discretionary framework for administrative penalties related to tax filing and invoice‑related violations. Two key measures from the State Taxation Administration’s 16 initiatives to support and facilitate the integrated development of the Yangtze River Delta have now been put into effect, marking the first time that interprovincial and intercity tax administrative penalty discretion has achieved “uniform treatment for similar cases.”

Rules for the Identification of Standardized Debt Assets

To standardize investment in asset management products by financial institutions, strengthen investor protection, promote the sound development of direct financing, and effectively prevent and control financial risks, in accordance with the requirements of the “Guiding Opinions of the People’s Bank of China, the China Banking and Insurance Regulatory Commission, the China Securities Regulatory Commission, and the State Administration of Foreign Exchange on Regulating Asset Management Business of Financial Institutions,” these Rules are hereby formulated for the identification of standardized debt‑type assets.