Following the case of actress Fan Bingbing, the Chinese entertainment industry has been hit by another storm of tax evasion, with actress Zheng Shuang being exposed for signing “yin and yang contracts” to evade taxes and has recently been officially investigated. In addition, the enterprise information search platform Sky Eye shows that many Chinese celebrities have written off their affiliated companies, including He Gui, Deng Chao, Tang Yan, Article, Na Ying, Zhao Benshan, Shen Teng and others.
The Chinese actress Zheng Shuang, who was involved in the surrogacy controversy, was kicked by her boyfriend Zhang Heng for signing a “yin and yang contract” with the film studio when she was filming the drama “The Ghost of Sinister” in 2019, splitting her salary of RMB 160 million into multiple contracts and making her salary only RMB 48 million on the books. The company’s income is only RMB 48 million, which is a circumvention of the industry limit of RMB 50 million, thus evading taxes.
The tax investigation storm threatens to continue to burn the Chinese show business, and many Chinese stars have recently written off their businesses. The Chinese official media CCTV news commented that “whoever evades taxes will be left out”, “learn art first, learn morality, act first”, and if you are not a law-abiding citizen, you will be left out once you try the law.
The netizens are not only concerned about the high price of the film, but also about whether it comes from the right way. CCTV said that the Chinese regulatory authorities will be investigated according to the law, signed “yin and yang contract”, which is prohibited by the rules; tax evasion, which is not allowed by law. Return to the rule of law, the film and television industry to benign development.
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