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10-Q - SEPTEMBER 30, 2011 QUARTERLY REPORT - CHINA PEDIATRIC PHARMACEUTICALS, INC.cpdu_2012sept30-10q.htm
EX-31.02 - CERTIFICATION OF CHIEF FINANCIAL OFFICER PURSUANT TO EXCHANGE ACT RULES 13A-14(A) AND 15D-14(A), AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002. - CHINA PEDIATRIC PHARMACEUTICALS, INC.exhibit_31-2.htm
EX-31.01 - CERTIFICATION OF CHIEF EXECUTIVE OFFICER PURSUANT TO EXCHANGE ACT RULES 13A-14(A) AND 15D-14(A), AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002. - CHINA PEDIATRIC PHARMACEUTICALS, INC.exhibit_31-1.htm
EXCEL - IDEA: XBRL DOCUMENT - CHINA PEDIATRIC PHARMACEUTICALS, INC.Financial_Report.xls
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EX-32.01 - CERTIFICATIONS OF CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002. - CHINA PEDIATRIC PHARMACEUTICALS, INC.exhibit_32-1.htm
v2.4.0.6
Statutory Reserve
9 Months Ended
Sep. 30, 2012
Insurance [Abstract]  
Statutory Reserve

NOTE 11 - STATUTORY RESERVE

 

In accordance with the laws and regulations of the PRC, a wholly-owned Foreign Invested Enterprises income, after the payment of the PRC income taxes, shall be allocated to the statutory surplus reserves and statutory public welfare fund.  Prior to January 1, 2006 the proportion of allocation for reserve was 10 percent of the profit after tax to the surplus reserve fund and additional 5-10 percent to the public affair fund.  The public welfare fund reserve was limited to 50 percent of the registered capital.  Effective January 1, 2006, there is now only one fund requirement.  The reserve is 10 percent of income after tax, not to exceed 50 percent of registered capital.

 

Statutory Reserve funds are restricted for set off against losses, expansion of production and operation or increase in register capital of the respective company.  Statutory public welfare fund is restricted to the capital expenditures for the collective welfare of employees.  These reserves are not transferable to the Company in the form of cash dividends, loans or advances.  These reserves are therefore not available for distribution except in liquidation.  As at September 30, 2012 and December 31, 2011, the Company had allocated $810,540 to these non-distributable reserve funds.