China cracks down on offshore trusts with new tax rules for the wealthy

China will impose personal-income taxes on offshore trusts owned by wealthy individuals, plugging a loophole leveraged by rich mainland families to avoid taxation. Effective immediately, the tax will be levied on gains made from asset values, such as stocks and properties, after having initially been put into trusts, the Ministry of Finance said in a statement on Friday. Incomes generated from the trusts will be taxed annually, it added. These sweeping changes to the taxation rules mark a...