China Futures Laws & Regulations key terms

The amount determined under the applicable tax rule before calculating tax, which need not equal every cash receipt or accounting profit.

The collection of tax through an obligated payer under its conditions, distinguished from assuming that it always establishes the final annual position.

An amount applied against tax under the relevant conditions, distinguished from a deduction from the underlying income or base.

An amount reducing a relevant tax base where the applicable conditions are met, rather than any payment a business considers useful.

A status determined under the applicable jurisdiction and framework, which should not be inferred from one address or nationality alone.

An explained connection between records, adjustments and a tax result, preserving the basis for each material difference.

Tax associated with taxable supplies under the relevant VAT framework, distinguished from eligible input credit and an exempt transaction.

A credit determined under the relevant indirect-tax conditions, not a guarantee arising solely from the existence of a document called an invoice.

Information communicated under the relevant duty and purpose, whose clarity and completeness matter as well as the absence of an arithmetic error.

A defined examination of facts and risks using relevant evidence, rather than acceptance of the preferred statement without testing it.

A person or entity connected through the applicable relationship test, whose transactions may require additional analysis or disclosure.

The possibility that an obligor fails to perform as required, distinguished from a shortage of immediately available funds alone.

The risk of difficulty meeting obligations when due, which can exist even where an institution reports accounting profit.

An assessment under the applicable prudential framework connecting capital and relevant exposures, rather than a universal ratio invented for every institution.

An estimated liability-related amount under the applicable insurance model, distinguished from a guarantee of the exact eventual cash claim.

A process matching the relevant product and client circumstances under its conditions, which does not guarantee that an investment cannot lose value.

Resources required to support performance of a trading position under the relevant rules, distinguished from the full contract value or a guaranteed loss ceiling.

The risk that the hedge and underlying exposure do not change in exactly offsetting ways, leaving a residual result under the model.

A regulatory decision under its statutory conditions, distinguished from a guarantee of investment value or certification of every commercial assertion.

Conduct prohibited under the relevant market framework, whose actual legal and factual conditions must be identified rather than inferred from an unfavorable price alone.

A legally defined ability relevant to a person's acts, distinguished from assuming that every person can undertake every transaction in the same way.

Acting for another person within the relevant authority, whose scope and limits must be distinguished from the representative personal preferences.

The authority of a body to deal with a matter under the applicable subject, territorial and procedural rules.

A legally recognized claim, power or interest considered separately from the procedure used to seek its protection or enforcement.

A requirement affecting the availability or conduct of a process, rather than automatically proving every underlying factual allegation.

The allocation of responsibility for establishing relevant facts under the applicable framework and type of proceeding.

A document with the evidentiary character supplied by applicable law, whose effect should not be extended beyond what it actually establishes.

A notarial instrument meeting applicable requirements, distinguished from an ordinary private document or a guarantee about every underlying commercial prediction.

The legal transition concerning a deceased person's estate, requiring attention to the relevant persons, acts and applicable framework.

A legally defined interest supporting a claim against an asset under its conditions, rather than ownership of every debtor resource.