Several Provisions of the Beijing Municipality Concerning the Encouragement of Returned Students to Start Business in Beijing

Outline of Beijing Business Development Incubator System Establishment

Several Provisions of the Beijing Municipality Concerning the Encouragement of Returned Students to Start Business in Beijing

  Beijing Municipal People Government   April 30,2000   Article 1 These Provisions are hereby formulated to encourage returned students to start business and work with a view to accelerating the development of the Zhongguancun Science and Technology Park and giving an impetus to the development of hi-tech industry and construction of innovation system.   Article 2 For the purpose of these provisions, interned student means a student sent abroad by the government or going to study abroad at his/her won expenses, who holds degree higher than bachelor(including bachelor degree),or a specialized technical person and management person having senior job title.   Article 3 A returned student may come to Beijing either to start business or work in following manners:   (1)To start up a proprietary or joint venture hi-tech business by taking shares for his/her invested technology or making investment;   (2)To start up or lease various kinds of economic entities and R&D institutes;   (3)To foster academic exchanges, R&D cooperation or undertake research projects;   (4)To take up post or work part-time job in an institution, big or medium sized SOE and other economic organization;   (5)To enter a post-doctoral mobile station in order to do post-doctoral research;   (6)To work in a Beijing overseas-based firm or institution;   (7)In ways other than the above.   Article 4 A returned student shall not be subject to the restrictions of the place of his/her residence permit issued prior to his/her departure if he/she comes to start business or work in Beijing. He/she may file application to the municipal personnel bureau for Beijing (Returned Student)Work/Lodge Permit on the basis of the certification issued by the employing unit or license given by the industrial & commercial bureau He/she may reside for a longer period or work for a brief period and comes and goes without any restrictions.   Article 5 Those students (including their spouses and children)who have become citizens of countries other than China can apply to the public security bureau for Foreigners Residence Permits good for two years and multiple-entry visas for one year on the basis of their Beijing(Returned Student)Work/Lodge Permits. Those coming to Beijing for a short time and fail to leave as scheduled may apply for visa extensions. Should they fail to obtain entry visas due to time constraints or for other reasons, they can apply for visa on arrival at the entry port pursuant to applicable provisions.   The departments concerned shall simplify the procedures for those students that go overseas again to get employed, pursue advanced studies, or make study trips or attend related academic activities.   Article 6 If those students that start business or get employed holders of Chinese passport wish to obtain permanent Beijing residence permits, they may do so by applying to the municipal public security bureau which shall process their applications inconformity with relevant provisions.   Spouses and children under 18 years old of those students having Beijing residence permits may move to Beijing without paying the charge for the number of children born in variance with the family planning. One of the working children may follow their parents that have no children living with them.   Article 7 Those students that come to Beijing to start business or get employed for a brief period may be allotted houses by their employing units by way of contract. Those students Chinese passport holder may purchase commercial residential houses or economical ones or purchased public houses approved for sale in districts under the jurisdiction of Beijing municipality on the basis of Beijing(Returned Student)Work/Lodge Permit.   Article 8 The education and administrative departments concerned of the district or country where the business-starting or working students are inhabiting shall be responsible for admittance into the kindergarten of the students pre-schooling age children and the schooling or transfer of their children that are in the compulsory education stage, at no cost other than that regulated by the government. Those children already studying in overseas universities or colleges may apply for joining the class in the middle of the course in Beijing universities or colleges. Those taking part in nationwide post-graduate enrollment exams may enjoy preferential treatment by the Beijing universities provided that the former have the same academic level.   Article 9 If the returned students are to start business in Beijing, they could register on the basis of their Chinese passports and their registered capital can be fixed in accordance with the applicable minimum requirements.   Article 10 The proceeds or income earned by returned students from transfer of technology, technology development business and related technical consultancy or tech-nical service shall be exempted from tax provided that the business or service have been certified by the departments concerned. Returned students who start up hi-tech business in the Zhongguancun Science Park area are entitled to preferential policy enjoyed by other hi-tech firms in Beijing.   Article 11 The legitimate income or earning obtained by returned students from their new business and their employers in the Zhongguancun Science Park shall be taxable according to the law. They may convert the total net income into foreign currencies and take it out of the country or remit it after check by the taxation department and the issuance of a special voucher.   Article 12 The hi-tech projects and products developed and produced by returned students may apply for the funding of Science and Technology Industry Fund of the Municipal Commission of Science & Technology. Certain percentage of funding will be envisaged in the annual municipal science & technology budget so that it can finance research activities of the returned students and give interest discount loans to the hi-tech start-up business of the students.   Article 13 Returned students who are engaged in R&D, technical transformation projects and research projects on which they have patents and inventions as well as projects relating to new-tech developments in Beijing, shall be provided by the employing units with experiment facilities, equipments and other indispensable condition. Furthermore, they may be provided with essential funding and allowed by the units to select and employ their assistants either in China or from abroad.   Article 14 If returned students need to import insignificant amount of chemical agents, raw material and accessory parts for research purpose in their start-up business and work, their work units shall file applications to the customs administration. The above items may be imported duty-free after approval. The foreign exchange needed can be purchased from the designated bank upon approval by the foreign exchange control department on the basis of valid certificates and commercial documents,   Article 15 A returned student who comes back to work within one year after his/her graduation may purchase one Chinese-made car tax-free pursuant to the Provisions of the Customs Administration Regarding the Purchase of Car for Personal Use by the Students Retuning to Serve China.   A returned student who has worked more than one year in Beijing, or a returned student who has acquired permanent residence right or foreign citizenship may take out of or bring into China a reasonable amount of luggage, durable consumer goods and one car in conformity with the Provisions Governing the Amount of Articles Foreign Experts Are Entitled to.   Article 16 The remuneration of a returned student employed by Beijing firm and institution shall be determined in a favorable manner through due consultation between the employing unit and the employed student. If he/she is employed by a firm, the firm may fix its own pay scales. If he/she is employed by the institution, the employed student can be given a pay scale more favorable than that of the same category of staff members in the work unit. And a special recruitment post allowance amounting to no more than 10 times his/her wage can be given to the student who has made distinguished contribution.   Article 17 Returned students employed by the municipal science, education and public health institutions or firms to take up professional or technical posts shall not be subject to the job title quota. Those who have not acquired professional or technical titles shall be conferred job titles by the municipal personnel bureau on the basis of their experience overseas and academic aptitude. Those who have obtained practitioners qualification mutually recognized by China and the country concerned may go direct to the departments concerned to have their professional of technical practitioners qualification certificates processed.   Article 18 The length of service of a returned student shall be calculated taking into account his/her working years before leaving for overseas as well as time elapsed since his/her return. Those years that could be calculated in succession should be calculated as such pursuant to applicable provisions of the State. The student can take part in social security pursuant to Beijing provisions.   Article 19 The municipal science, education, public health and other institutions are encouraged to recruit returned students to work in Beijing. They are not subject to the restrictions of staff size and personnel increase quote, wage fund and wage amount of a unit in question.   Article 20 The municipal government has set up a Returned Student Business Development Award in recognition of the outstanding contributions made by returned students. The award-winners may apply for projects from the science and technology progress award and other awards pursuant to applicable provisions.   Article 21 With a view to attracting returned students to start up business and work in Beijing, the construction of returned student pioneering park shall be intensified. And an information databank regarding returned students is to be established and a network window for similar purpose is also planed highlighting the latest development of science and technology in Beijing, and key industry information as well as relevant policy advice concerning returned students.   Article 22 The legitimate rights and interests of the returned students shall be protected according to law. In line with the laws and provisions, the intellectual achievements, legitimate earnings and other rights and interests of the students shall be protected.   Article 23 The municipal personnel bureau shall be responsible for the certification of a returned student and the coordination among various departments concerned for the provision of a quality, rapid and convenient one-stop service there by creating favorable environment for returned students to start business or work.   Article 24 The municipal personnel bureau shall be responsible for the interpretation in any question arises from the implementation of these Provisions.   Article 25 These Provisions shall go into effect as of May 1,2000.They shall prevail if any earlier Provisions are in conflict with these ones.

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