Since March of this year, experts have been visiting enterprises in the Guiyang Economic Technology Development Zone (GETDZ) to review financial and R&D documents and standardize the criteria for collecting R&D expenses.
This one-on-one guidance program, launched by GETDZ’s sci-tech innovation service center in collaboration with the Guiyang bureau of science and technology, has already helped more than 30 local enterprises receive customized policy guidance.
Chery & Wanda Guizhou Bus Co allocates 10 percent of its annual revenue to R&D. Previously, the company faced challenges in accurately categorizing R&D consumables, with replacement parts used in vehicle prototyping not being accounted for in R&D expenses. This resulted in omissions when applying for R&D expense deductions. After on-site review and standardization by experts, the company's deductible R&D expenses were expected to save hundreds of thousands of dollars annually.
The company's staff members have noted that the previous application process was cumbersome, often leading to reporting errors. Through this on-site guidance program, the company has gained a clearer understanding of policy eligibility criteria and established a standardized internal management system for R&D expenses. These savings will be fully reinvested in the development of new energy bus technology.
GETDZ will continue providing targeted guidance tailored to specific industries, combining online presentations with in-person visits to streamline the implementation of business-friendly policies, help enterprises fully access tax benefits, and reduce innovation and R&D costs.