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Comment by angry_octet

11 hours ago

Although you can often take losses from a previous year to offset current income. So if you do a huge amount of capital investment you can offset against profits for years.

This is also misleading.

> Although you can often take losses from a previous year to offset current income

This is true, usually for 5 years.

> So if you do a huge amount of capital investment you can offset against profits for years.

Articles 11, 12, 18, and 28 [0] say that capital investment can reduce tax based on the depreciation or amortization cost, not by carrying forward the investment as a loss.

Nothing in the Chinese tax law says that DeepSeek can receive tax returns or free handouts from the government because they do R&D.

[0] https://fgk.chinatax.gov.cn/eng/c102962/c102967/c102997/c103...