SIP enjoys all preferential policies granted to the State Economic and Technological Development Zones and State High-Tech Developmental Zone. It is also the only pilot zone to launch preferential policies for Technology Advanced Service Enterprises. Therefore, enterprises in Loufeng are able to enjoy full incentives granted to SIP.

Industrial enterprise and service company in Loufeng (including technology advanced service and outsourcing service enterprise), in accordance with its contribution to local economy, can share additional incentives.

SIP was granted many exclusive special policies, featuring unique and unparalleled advantages.
·SIP enjoys high authority in terms of project approval. It can approve independently all foreign-invested projects so long as they are in line with national policy.
·SIP possesses efficient and flexible foreign affairs administration power. Empowered by the Foreign Affairs Office of State Council and the Ministry of Foreign Affairs, It can approve overseas official trip application, issue official duty passports, apply for visas from foreign embassies in China and issue visa notification letters to foreigners for entry into China etc.
·SIP has a sole regional Provident Fund (PF) scheme in China, featuring company less payment, employee getting more, stable security so it easily attracts and keeps talents.
·SIP has a speedy logistics and customs clearance. It is equipped with an independent customs, efficient green lane and import&export distribution centre with full functions of an inland port, a Bonded Logistics Center (Type B) as well as permission to approve solely foreign-owned companies or joint ventures of logistics. Supervised warehouses in Shanghai’s airports can be extended to SIP, which substantially promotes the efficiency of customs clearance for enterprises in Loufeng.

Tax Incentives
·Foreign invested manufacturing companies in SIP, accredited as high tech company, can share 15% corporate income tax, 3% local income tax exempted. Company of operational period exceeding 10 years still enjoys “free for two years, half for three years” income tax incentives.
·Export or technologically advanced enterprises invested by foreigners, when the preferential period expired according to the tax law, revenue of which surpasses 70% of export products value will pay 10% tax. If remaining its title of high tech, another 3 years of 10% tax can be extended.
Foreign invested enterprises specializing in agriculture, forestry and animal husbandry, after its normal preferential period, pay 15%-30% of intended income tax for another ten years.
·Foreign investors in SIP, who want to re-invest in the same enterprise or a new company with an over-5-year operational period, can share 40% rebate. Furthermore, those who re-invest in a newly-established export or high tech company can share 100% rebate. As for foreign-invested institutes or infrastructures, 40% of their purchase of domestic equipment can be exempted. For one whose growth of tech exploration fee maintains more than 10%, 50% of actual expenditure can be exempted.
·Dividend, interest, rental, loyalty and other revenues, deducting the part legally exempted, will be levied 10% withholding income tax. IC and software companies share special incentives stated in No.18 document of the State Council (2000), i.e. Circular of the State Council Concerning the Publishing and Distribution of Several Policies on Encouraging the Development of Software Industry and IC (Integrate Circuit) Industry.