The dualistic corporate tax system of China has been abolished and a new corporate tax law was enacted in 2008. New Corporate Tax Law was influenced by recent economic growth and an increase in tax revenue in China. It unified preexisting dualistic tax system which differentiated Chinese enterprises from foreign invested enterprises. The new law is meaningful that domestic and foreign enterprises will compete each other under the same conditions as it reduces tax burdens of Chinese enterprises while raises foreign invested enterprises’ tax burden.

The new Corporate Tax Law plays an important role in China’s tax laws as it defines fundamental structure of corporate tax. It is also expected to have a profound effect on Chinese future tax reforms. This paper analyzes the effects of China’s new Corporate Tax Law on Korean Corporate Tax Law, especially from the legislate viewpoint. It will be referred to Korean tax reforms as well.