Shenzhen-based Huawei Technologies has become the southern city s biggest ever taxpayer following an 870 million yuan payout after selling out of its joint venture with 3Com. It sold its 49% stake in enterprise comms firm H3C to 3Com for $882 million for a profit of 6 billion yuan, Guangzhou Daily reported.
The local branch of the State Administration of Taxation at Buji, a suburb of Shenzhen, has closely followed Huawei since obtaining documents relating to the sale agreement in March. They have filed a series of reports to superiors at the Longgang tax office while also continuing to negotiate with the vendor to solve accounting issues as they arose.
Buji tax branch head Zhuo Shikai said that thanks to the Huawei payment, the district s enterprise tax collections topped 1 billion yuan for the first time.