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Old 10-30-2012, 10:44 AM
  #11  
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Actually the PRC tax rate is similar to the USA
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Old 10-30-2012, 11:25 AM
  #12  
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Originally Posted by OceanicPilot View Post
Actually the PRC tax rate is similar to the USA
That is somewhat true but, the HKG rate is lower and any income above the exclusion is taxed by both entities. As a for instance, let say some one in China is paid $260K the PRC tax owed is probably about $90K (as opposed to 30K HKG). FDX eats that by plussing up the salary to $350K. About $250K of that is taxable by Uncle Sugar (and all of it at the highest tax rate). At least that is the way it was splained to me.
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