The Guangdong Provincial Government has recently issued "Several Supporting Measures for Further Promoting Science and Technology Innovation" (hereinafter referred to as "12 Measures for Guangdong's Science and Technology Innovation). A series of supporting policies and detailed implementation rules for the 12 Measures for Guangdong's Science and Technology Innovation are expected to be unveiled in the near future.
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The 12 Measures not only specify the objectives and tasks to push forward science and technology innovations in Guangdong, but also give full administrative, funding and land use support to turn the province into a highland for innovative talents. The new measures proposed to pioneer a permanent residency program for high-caliber technical talents in 9 PRD cities and shorten the inspection and approval period for foreigners who apply for PR. Under the new rules, for foreigners working in Guangdong who are not eligible to enjoy public social and health insurance benefits, their employers are allowed to use corporate fiscal funds to purchase commercial pension and health insurance for the duration of their employment. Guangdong will open more fast-tracked channels for professional title evaluation for entrepreneurs in the science and technology innovation sector, and entrepreneurs can directly apply for the highest-level professional technical titles, as clarified by the 12 Measures.
Managements from R&D Institutions and Skilled Talents Allowed to be Company Shareholders
The 12 Measures for Guangdong's Science and Technology Innovation further stipulate to strengthen comprehensive support to boost innovation and lower R&D costs for enterprises. On the basis of the current national 75% super deduction tax rate for R&D expenses, Guangdong province will allow prefecture-level governments to provide a subsidy of up to 25% of the weighted pre-tax deduction of R&D expenses for qualified science and technology-related small- and medium-sized enterprises, if conditions permit.
According to the measures, R&D institutions will be given the authority to approve investments of up to 30 million yuan from their affiliated venture capital companies. Other favorable measures include: granting the managerial staffs and skilled workers from R&D institutions the right to be the majority shareholders and permitting companies to use corporate fiscal funds to purchase commercial pension and health insurance for foreign employees. Furthermore, universities and scientific research institutions will be allowed to rent out their incubators and have their rental income fully refunded for the operation of the incubators and the provision of financial rewards for outstanding technological talents.
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Chen Wenfu, the General Manager of the Huizhou Choyes Intellectual Property, described the new measures as "very exciting and motivating!". According to Chen, this has been the first document of the year announced by the Guangdong government, which spoke volume of the province's commitment to boosting scientific and technological innovation. The 12 Measures are clear, pragmatic, which will offer greater support to the innovation sector than ever before. Chen expressed that researchers are now motivated and determined to achieve more breakthroughs.
12 Measures for Guangdong's Science and Technology Innovation
To facilitate the construction of the International Science and Technology Innovation Centre in the GD-HK-Macao Greater Bay Area
To encourage universities and research institutions from Hong Kong and Macao to undertake provincial-level science and technology projects
To push forward building Guangdong into a highland for innovative talents
To accelerate the construction of provincial-level laboratories and new R&D institutions
To speed up reform on hi-tech zones to spur innovative development
To intensify all-inclusive support for innovative enterprises
To clear away obstacles to ensure successful transfer and commercialization of science and technology achievements
To promote deep integration between the technology and finance sectors
To guarantee sufficient land supply for research projects
To better coordinate regional innovation and development
To step up promotion on integrity and ethics on scientific research
To advance the reforms to "simplify procedures, decentralize powers, enhance supervision, and optimize public services in the science and technology sector