1 June 2003
Ningbo Implements New Recognition Measures on High-tech Enterprises
Ningbo implemented a set of new recognition measures on high-tech enterprises in April. It is good news for pioneering enterprises engaged in high-tech research and development and production.
It is understood that the revised measures have greatly eased requirements on high-tech enterprises in terms of operation scale and the number of technical personnel. However, the requirement on technology content has been raised.
Previously, a high-tech enterprise was required to have a gross income of Rmb20 million, or, if its gross income was less than Rmb 20 million, a total income from technology and high-tech products exceeding Rmb10 million. The revised measures only require a high-tech enterprise to have an income of Rmb10 million from its major business in the previous year, or, for those not reaching Rmb10 million, a total income from technology and high-tech products exceeding Rmb8 million. For software companies or agricultural enterprises engaged in seeds or seedlings, the total income from technology and high-tech products is even lowered to Rmb5 million.
However, the new measures have raised the percentage of sales revenue from technology and high-tech products in the gross income of an enterprise from the previous 40% to 50%.