WTO Dispute Settlement Proceeding Regarding China-Certain Measures Granting Refunds, Reductions or Exemptions From Taxes and Other Payments, 7914-7915 [E7-2855]
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7914
Federal Register / Vol. 72, No. 34 / Wednesday, February 21, 2007 / Notices
Dated: February 13, 2007.
C.W. Di Bella,
Acting Executive Director, Nuclear Waste
Technical Review Board.
[FR Doc. 07–739 Filed 2–20–07; 8:45 am]
an effort to provide additional
opportunity for comment, USTR is
providing notice that consultations have
been requested pursuant to the WTO
Understanding on Rules and Procedures
Governing the Settlement of Disputes
(‘‘DSU’’). If such consultations should
fail to resolve the matter and a dispute
settlement panel is established pursuant
to the DSU, such panel, which would
hold its meetings in Geneva,
Switzerland, would be expected to issue
a report on its findings and
recommendations within six to nine
months after it is established.
BILLING CODE 6820–AM–M
OFFICE OF THE UNITED STATES
TRADE REPRESENTATIVE
[Docket No. WTO/DS–358]
WTO Dispute Settlement Proceeding
Regarding China—Certain Measures
Granting Refunds, Reductions or
Exemptions From Taxes and Other
Payments
Office of the United States
Trade Representative.
ACTION: Notice; request for comments.
rmajette on PROD1PC67 with NOTICES
AGENCY:
SUMMARY: The Office of the United
States Trade Representative (USTR) is
providing notice that on February 2,
2007, in accordance with the Marrakesh
Agreement Establishing the World
Trade Organization (WTO Agreement),
the United States requested
consultations regarding certain
measures granting refunds, reductions
or exemptions from taxes and other
payments owed to the government by
enterprises in China. That request may
be found at https://www.wto.org
contained in a document designated as
WT/DS358/1. USTR invites written
comments from the public concerning
the issues raised in this dispute.
DATES: Although USTR will accept any
comments received during the course of
the consultations, comments should be
submitted on or before March 12, 2006
to be assured of timely consideration by
USTR.
ADDRESSES: Comments should be
submitted (i) electronically, to
FR0507@ustr.eop.gov, with ‘‘China
Prohibited Subsidies (DS358)’’ in the
subject line, or (ii) by fax, to Sandy
McKinzy at (202) 395–3640, with a
confirmation copy sent electronically to
the electronic mail address above, in
accordance with the requirements for
submission set out below.
FOR FURTHER INFORMATION CONTACT:
Arun Venkataraman, Associate General
Counsel, Office of the United States
Trade Representative, 600 17th Street,
NW., Washington, DC (202) 395–5694.
SUPPLEMENTARY INFORMATION: Section
127(b) of the Uruguay Round
Agreements Act (URAA) (19 U.S.C.
3537(b)(1)) requires that notice and
opportunity for comment be provided
after the United States submits or
receives a request for the establishment
of a WTO dispute settlement panel. In
VerDate Aug<31>2005
15:09 Feb 20, 2007
Jkt 211001
Major Issues Raised by the United
States
On February 2, 2007, the United
States requested consultations with
China regarding certain measures
granting refunds, reductions or
exemptions from taxes and other
payments owed to the government by
enterprises in China. These measures
include the following, as well as any
amendments and related or
implementing measures:
1. Circular of the State Administration
of Taxation Concerning Transmitting
the Interim Measure for the
Administration of Tax Refunds to
Enterprises with Foreign Investment for
Their Domestic Equipment Purchases;
2. Circular of the Ministry of Finance
and the State Administration of
Taxation Concerning the Issue of Tax
Credit for Business Income Tax for
Homemade Equipment Purchased by
Enterprises with Foreign Investment
and Foreign Enterprises, read in
conjunction with Circular of the State
Administration of Taxation on Printing
and Distributing the Measures
Concerning Business Income Tax Credit
on the Investment of Enterprises with
Foreign Investment and Foreign
Enterprises by Way of Purchasing
Homemade Equipment;
3. Circular on Distribution of Interim
Measures Concerning Reduction and
Exemption of Enterprise Income Tax for
Investment in Domestically Made
Equipment for Technological
Renovation;
4. Articles 75(7) and 75(8) of the Rules
for Implementation of the Income Tax
Law of the People’s Republic of China
on Enterprises with Foreign Investment
and Foreign Enterprises, read in
conjunction with Articles 8 and 9 of the
Provisions of the State Council on the
Encouragement of Foreign Investment
and Articles 6 and 8 of the Income Tax
Law of the People’s Republic of China
on Enterprises with Foreign Investment
and Foreign Enterprises;
5. Article 73(6) of the Rules for
Implementation of the Income Tax Law
PO 00000
Frm 00060
Fmt 4703
Sfmt 4703
of the People’s Republic of China on
Enterprises with Foreign Investment
and Foreign Enterprises, read in
conjunction with Articles 6 and 7 of the
Income Tax Law of the People’s
Republic of China on Enterprises with
Foreign Investment and Foreign
Enterprises and Section XIII of the
Catalogue for the Guidance of Foreign
Investment Industries;
6. Article 81 of the Rules for
Implementation of the Income Tax Law
of the People’s Republic of China on
Enterprises with Foreign Investment
and Foreign Enterprises, read in
conjunction with Articles 6 and 10 of
the Income Tax Law of the People’s
Republic of China on Enterprises with
Foreign Investment and Foreign
Enterprises and Article 10 of the
Provisions of the State Council on the
Encouragement of Foreign Investment;
7. Article 3 of the Provisions of the
State Council on the Encouragement of
Foreign Investment;
8. Articles 3 and 6 of the Circular of
the People’s Bank of China, the State
Administration of Foreign Exchange, the
Ministry of Foreign Trade and Economic
Cooperation and the State
Administration of Taxation Concerning
Printing and Distribution Detailed Rules
on Rewarding and Punishment
Concerning Provisional Regulations
over Examination of Export Collections
of Foreign Exchange;
9. Circular of the State Council
Concerning the Adjustment in the
Taxation Policy of Imported Equipment,
read in conjunction with and Section
XIII of the Catalogue for the Guidance of
Foreign Investment Industries;
The above laws and regulations of
China appear to constitute subsidies
prohibited under WTO rules.
Specifically, the first three items above
appear to be import substitution
subsidies, conditioning income tax and
value-added tax refunds on the
recipient’s purchase of domestic over
imported goods. The last six items
appear to be export subsidies, to the
extent that they offer refunds,
reductions or exemptions from taxes
and other payments owed to the
government, on the condition that the
beneficiary enterprises meet certain
export performance criteria.
Furthermore, by conditioning financial
incentives on an enterprise’s purchase
of domestic over imported equipment,
the three import substitution subsidies
also appear to treat imported products
less favorably than domestic products.
USTR believes these measures are
inconsistent with China’s obligations
under Article 3 of the Agreement on
Subsidies and Countervailing Measures,
Article III of the General Agreement on
E:\FR\FM\21FEN1.SGM
21FEN1
Federal Register / Vol. 72, No. 34 / Wednesday, February 21, 2007 / Notices
Tariffs and Trade 1994, Article 2 of the
Agreement on Trade-Related Investment
Measures, as well as Parts I.1.2, I.7.2–
7.3, and I.10.3 of the Protocol on the
Accession of the People’s Republic of
China, including paragraphs 167 and
203 of the Working Party Report.
rmajette on PROD1PC67 with NOTICES
Public Comment: Requirements for
Submissions
Interested persons are invited to
submit written comments concerning
the issues raised in the dispute.
Comments should be submitted (i)
electronically, to FR0507@ustr.eop.gov,
with ‘‘China Prohibited Subsidies
(DS358)’’ in the subject line, or (ii) by
fax, to Sandy McKinzy at (202) 395–
3640, with a confirmation copy sent
electronically to the electronic mail
address above.
USTR encourages the submission of
documents in Adobe PDF format as
attachments to an electronic mail.
Interested persons who make
submissions by electronic mail should
not provide separate cover letters;
information that might appear in a cover
letter should be included in the
submission itself. Similarly, to the
extent possible, any attachments to the
submission should be included in the
same file as the submission itself, and
not as separate files.
Comments must be in English. A
person requesting that information
contained in a comment submitted by
that person be treated as confidential
business information must certify that
such information is business
confidential and would not customarily
be released to the public by the
commenter. Confidential business
information must be clearly designated
as such and ‘‘BUSINESS
CONFIDENTIAL’’ must be marked at the
top and bottom of the cover page and
each succeeding page. Persons who
submit confidential business
information are encouraged also to
provide a non-confidential summary of
the information.
Information or advice contained in a
comment submitted, other than business
confidential information, may be
determined by USTR to be confidential
in accordance with section 135(g)(2) of
the Trade Act of 1974 (19 U.S.C.
2155(g)(2)). If the submitter believes that
information or advice may qualify as
such, the submitter—
(1) Must clearly so designate the
information or advice;
(2) Must clearly mark the material as
ASUBMITTED IN CONFIDENCE at the
top and bottom of the cover page and
each succeeding page; and
VerDate Aug<31>2005
15:09 Feb 20, 2007
Jkt 211001
(3) Is encouraged to provide a nonconfidential summary of the
information or advice.
Pursuant to section 127(e) of the
URAA (19 U.S.C. 3537(e)), USTR will
maintain a file on this dispute
settlement proceeding, accessible to the
public, in the USTR Reading Room,
which is located at 1724 F Street, NW.,
Washington, DC 20508. The public file
will include non-confidential comments
received by USTR from the public with
respect to the dispute; if a dispute
settlement panel is convened, the U.S.
submissions to that panel, the
submissions, or non-confidential
summaries of submissions, to the panel
received from other participants in the
dispute, as well as the report of the
panel; and, if applicable, the report of
the Appellate Body. The USTR Reading
Room is open to the public, by
appointment only, from 10 a.m. to noon
and 1 p.m. to 4 p.m., Monday through
Friday. An appointment to review the
public file (Docket WTO/DS–358, China
Prohibited Subsidies Dispute) may be
made by calling the USTR Reading
Room at (202) 395–6186.
Daniel Brinza,
Assistant United States Trade Representative
for Monitoring and Enforcement.
[FR Doc. E7–2855 Filed 2–20–07; 8:45 am]
BILLING CODE 3190–W7–P
SMALL BUSINESS ADMINISTRATION
Data Collection Available for Public
Comments and Recommendations
Notice and request for
comments.
ACTION:
SUMMARY: In accordance with the
Paperwork Reduction Act of 1995, this
notice announces the Small Business
Administration’s intentions to request
approval on a new and/or currently
approved information collection.
DATES: Submit comments on or before
April 23, 2007.
ADDRESSES: Send all comments
regarding whether this information
collection is necessary for the proper
performance of the function of the
agency, whether the burden estimates
are accurate, and if there are ways to
minimize the estimated burden and
enhance the quality of the collection, to
Carol Fendler, Systems Accountant,
Office of Investment, Small Business
Administration, 409 3rd Street, SW., 6th
Floor, Washington, DC 20416.
FOR FURTHER INFORMATION CONTACT:
Carol Fendler, Systems Accountant,
Office of Investment 202–205–7559
carol.fendler@sba.gov. Curtis B. Rich,
PO 00000
Frm 00061
Fmt 4703
Sfmt 4703
7915
Management Analyst, 202–205–7030
curtis.rich@sba.gov.
SUPPLEMENTARY INFORMATION:
Title: ‘‘Size Status Declaration’’.
Description of Respondents: New
Licensees.
Form No.: 480.
Annual Responses: 4,200.
Annual Burden: 700.
Title: ‘‘Stockholders’ Confirmation
(Corporation); Ownership Confirmation
(Partnership)’’.
Description of Respondents: Newly
Licensed SBIC’S.
Form Nos.: 1405, 1405A.
Annual Responses: 600.
Annual Burden: 600.
ADDRESSES: Send all comments
regarding whether this information
collection is necessary for the proper
performance of the function of the
agency, whether the burden estimates
are accurate, and if there are ways to
minimize the estimated burden and
enhance the quality of the collection, to
Sandra Johnston, Office of Financial
Assistance, Small Business
Administration, 409 3rd Street, SW., 8th
Floor, Washington, DC 20416.
FOR FURTHER INFORMATION CONTACT:
Sandra Johnston, Program Analyst,
Office of Financial Assistance 202–205–
7528 sandra.johnston@sba.gov. Curtis B.
Rich, Management Analyst, 202–205–
7030 curtis.rich@sba.gov.
SUPPLEMENTARY INFORMATION:
Title: ‘‘CDC Annual Report Guide’’.
Description of Respondents: Certified
Development Companies.
Form No.: 1253.
Annual Responses: 1.
Annual Burden: 7,500.
ADDRESSES: Send all comments
regarding whether this information
collection is necessary for the proper
performance of the function of the
agency, whether the burden estimates
are accurate, and if there are ways to
minimize the estimated burden and
enhance the quality of the collection, to
Leo Sanchez, Senior Analyst, Office of
Government Contracting & Business
Development, Small Business
Administration, 409 3rd Street, SW., 8th
Floor, Washington, DC 20416.
FOR FURTHER INFORMATION CONTACT: Leo
Sanchez, Senior Analyst, Office of
Government Contracting & Business
Development 202–205–7528
leo.sanshez@sba.gov. Curtis B. Rich,
Management Analyst, 202–205–7030
curtis.rich@sba.gov.
SUPPLEMENTARY INFORMATION:
Title: ‘‘8(a) SDB Paper and Electronic
Application’’.
Description of Respondents: 8(a) SDB
Companies.
E:\FR\FM\21FEN1.SGM
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]]>Agencies
[Federal Register Volume 72, Number 34 (Wednesday, February 21, 2007)]
[Notices]
[Pages 7914-7915]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-2855]
=======================================================================
-----------------------------------------------------------------------
OFFICE OF THE UNITED STATES TRADE REPRESENTATIVE
[Docket No. WTO/DS-358]
WTO Dispute Settlement Proceeding Regarding China--Certain
Measures Granting Refunds, Reductions or Exemptions From Taxes and
Other Payments
AGENCY: Office of the United States Trade Representative.
ACTION: Notice; request for comments.
-----------------------------------------------------------------------
SUMMARY: The Office of the United States Trade Representative (USTR) is
providing notice that on February 2, 2007, in accordance with the
Marrakesh Agreement Establishing the World Trade Organization (WTO
Agreement), the United States requested consultations regarding certain
measures granting refunds, reductions or exemptions from taxes and
other payments owed to the government by enterprises in China. That
request may be found at https://www.wto.org contained in a document
designated as WT/DS358/1. USTR invites written comments from the public
concerning the issues raised in this dispute.
DATES: Although USTR will accept any comments received during the
course of the consultations, comments should be submitted on or before
March 12, 2006 to be assured of timely consideration by USTR.
ADDRESSES: Comments should be submitted (i) electronically, to
FR0507@ustr.eop.gov, with ``China Prohibited Subsidies (DS358)'' in the
subject line, or (ii) by fax, to Sandy McKinzy at (202) 395-3640, with
a confirmation copy sent electronically to the electronic mail address
above, in accordance with the requirements for submission set out
below.
FOR FURTHER INFORMATION CONTACT: Arun Venkataraman, Associate General
Counsel, Office of the United States Trade Representative, 600 17th
Street, NW., Washington, DC (202) 395-5694.
SUPPLEMENTARY INFORMATION: Section 127(b) of the Uruguay Round
Agreements Act (URAA) (19 U.S.C. 3537(b)(1)) requires that notice and
opportunity for comment be provided after the United States submits or
receives a request for the establishment of a WTO dispute settlement
panel. In an effort to provide additional opportunity for comment, USTR
is providing notice that consultations have been requested pursuant to
the WTO Understanding on Rules and Procedures Governing the Settlement
of Disputes (``DSU''). If such consultations should fail to resolve the
matter and a dispute settlement panel is established pursuant to the
DSU, such panel, which would hold its meetings in Geneva, Switzerland,
would be expected to issue a report on its findings and recommendations
within six to nine months after it is established.
Major Issues Raised by the United States
On February 2, 2007, the United States requested consultations with
China regarding certain measures granting refunds, reductions or
exemptions from taxes and other payments owed to the government by
enterprises in China. These measures include the following, as well as
any amendments and related or implementing measures:
1. Circular of the State Administration of Taxation Concerning
Transmitting the Interim Measure for the Administration of Tax Refunds
to Enterprises with Foreign Investment for Their Domestic Equipment
Purchases;
2. Circular of the Ministry of Finance and the State Administration
of Taxation Concerning the Issue of Tax Credit for Business Income Tax
for Homemade Equipment Purchased by Enterprises with Foreign Investment
and Foreign Enterprises, read in conjunction with Circular of the State
Administration of Taxation on Printing and Distributing the Measures
Concerning Business Income Tax Credit on the Investment of Enterprises
with Foreign Investment and Foreign Enterprises by Way of Purchasing
Homemade Equipment;
3. Circular on Distribution of Interim Measures Concerning
Reduction and Exemption of Enterprise Income Tax for Investment in
Domestically Made Equipment for Technological Renovation;
4. Articles 75(7) and 75(8) of the Rules for Implementation of the
Income Tax Law of the People's Republic of China on Enterprises with
Foreign Investment and Foreign Enterprises, read in conjunction with
Articles 8 and 9 of the Provisions of the State Council on the
Encouragement of Foreign Investment and Articles 6 and 8 of the Income
Tax Law of the People's Republic of China on Enterprises with Foreign
Investment and Foreign Enterprises;
5. Article 73(6) of the Rules for Implementation of the Income Tax
Law of the People's Republic of China on Enterprises with Foreign
Investment and Foreign Enterprises, read in conjunction with Articles 6
and 7 of the Income Tax Law of the People's Republic of China on
Enterprises with Foreign Investment and Foreign Enterprises and Section
XIII of the Catalogue for the Guidance of Foreign Investment
Industries;
6. Article 81 of the Rules for Implementation of the Income Tax Law
of the People's Republic of China on Enterprises with Foreign
Investment and Foreign Enterprises, read in conjunction with Articles 6
and 10 of the Income Tax Law of the People's Republic of China on
Enterprises with Foreign Investment and Foreign Enterprises and Article
10 of the Provisions of the State Council on the Encouragement of
Foreign Investment;
7. Article 3 of the Provisions of the State Council on the
Encouragement of Foreign Investment;
8. Articles 3 and 6 of the Circular of the People's Bank of China,
the State Administration of Foreign Exchange, the Ministry of Foreign
Trade and Economic Cooperation and the State Administration of Taxation
Concerning Printing and Distribution Detailed Rules on Rewarding and
Punishment Concerning Provisional Regulations over Examination of
Export Collections of Foreign Exchange;
9. Circular of the State Council Concerning the Adjustment in the
Taxation Policy of Imported Equipment, read in conjunction with and
Section XIII of the Catalogue for the Guidance of Foreign Investment
Industries;
The above laws and regulations of China appear to constitute
subsidies prohibited under WTO rules. Specifically, the first three
items above appear to be import substitution subsidies, conditioning
income tax and value-added tax refunds on the recipient's purchase of
domestic over imported goods. The last six items appear to be export
subsidies, to the extent that they offer refunds, reductions or
exemptions from taxes and other payments owed to the government, on the
condition that the beneficiary enterprises meet certain export
performance criteria. Furthermore, by conditioning financial incentives
on an enterprise's purchase of domestic over imported equipment, the
three import substitution subsidies also appear to treat imported
products less favorably than domestic products.
USTR believes these measures are inconsistent with China's
obligations under Article 3 of the Agreement on Subsidies and
Countervailing Measures, Article III of the General Agreement on
[[Page 7915]]
Tariffs and Trade 1994, Article 2 of the Agreement on Trade-Related
Investment Measures, as well as Parts I.1.2, I.7.2-7.3, and I.10.3 of
the Protocol on the Accession of the People's Republic of China,
including paragraphs 167 and 203 of the Working Party Report.
Public Comment: Requirements for Submissions
Interested persons are invited to submit written comments
concerning the issues raised in the dispute. Comments should be
submitted (i) electronically, to FR0507@ustr.eop.gov, with ``China
Prohibited Subsidies (DS358)'' in the subject line, or (ii) by fax, to
Sandy McKinzy at (202) 395-3640, with a confirmation copy sent
electronically to the electronic mail address above.
USTR encourages the submission of documents in Adobe PDF format as
attachments to an electronic mail. Interested persons who make
submissions by electronic mail should not provide separate cover
letters; information that might appear in a cover letter should be
included in the submission itself. Similarly, to the extent possible,
any attachments to the submission should be included in the same file
as the submission itself, and not as separate files.
Comments must be in English. A person requesting that information
contained in a comment submitted by that person be treated as
confidential business information must certify that such information is
business confidential and would not customarily be released to the
public by the commenter. Confidential business information must be
clearly designated as such and ``BUSINESS CONFIDENTIAL'' must be marked
at the top and bottom of the cover page and each succeeding page.
Persons who submit confidential business information are encouraged
also to provide a non-confidential summary of the information.
Information or advice contained in a comment submitted, other than
business confidential information, may be determined by USTR to be
confidential in accordance with section 135(g)(2) of the Trade Act of
1974 (19 U.S.C. 2155(g)(2)). If the submitter believes that information
or advice may qualify as such, the submitter--
(1) Must clearly so designate the information or advice;
(2) Must clearly mark the material as ASUBMITTED IN CONFIDENCE at
the top and bottom of the cover page and each succeeding page; and
(3) Is encouraged to provide a non-confidential summary of the
information or advice.
Pursuant to section 127(e) of the URAA (19 U.S.C. 3537(e)), USTR
will maintain a file on this dispute settlement proceeding, accessible
to the public, in the USTR Reading Room, which is located at 1724 F
Street, NW., Washington, DC 20508. The public file will include non-
confidential comments received by USTR from the public with respect to
the dispute; if a dispute settlement panel is convened, the U.S.
submissions to that panel, the submissions, or non-confidential
summaries of submissions, to the panel received from other participants
in the dispute, as well as the report of the panel; and, if applicable,
the report of the Appellate Body. The USTR Reading Room is open to the
public, by appointment only, from 10 a.m. to noon and 1 p.m. to 4 p.m.,
Monday through Friday. An appointment to review the public file (Docket
WTO/DS-358, China Prohibited Subsidies Dispute) may be made by calling
the USTR Reading Room at (202) 395-6186.
Daniel Brinza,
Assistant United States Trade Representative for Monitoring and
Enforcement.
[FR Doc. E7-2855 Filed 2-20-07; 8:45 am]
BILLING CODE 3190-W7-P
