The content of the debt restructuring agreement of the debt restructuring agreement

Key Terms of the Debt Restructuring Agreement:

1. Creditor's rights and debts between the parties to the agreement;

2. Transfer of creditor's rights and debts between the parties to the agreement;

3. Set-off of creditor's rights and debts;

4. Undertakings and warranties of all parties to the agreement;

5. Dispute resolution;

6. Effectiveness of the Agreement and Others.

On the recognition of income from debt restructuring, the Notice of the State Administration of Taxation on Several Tax Issues Concerning the Implementation of the Enterprise Income Tax Law (Guo Shui Han No. 201079) stipulates that when an enterprise undergoes debt restructuring, the realization of income shall be recognized when the debt restructuring contract or agreement takes effect. The Announcement of the State Administration of Taxation on Issues Concerning the Treatment of Enterprise Income Tax on Income from the Transfer of Property Acquired by Enterprises (No. 19 [2010]) stipulates that, unless otherwise specified, the income from debt restructuring obtained by an enterprise, whether in monetary or non-monetary form, shall be included in the annual calculation and payment of enterprise income tax in a lump sum for the recognition of income. Interpretation:

Circular No. 79 and Announcement No. 19 clarify the recognition of debt restructuring income in terms of the timing and method of recognition, respectively. Among them, "unless otherwise specified" in Announcement No. 19 refers to, and other provisions mainly refer to: 1

It means that the taxable income recognized by the debt restructuring of the enterprise accounts for more than 50% of the taxable income of the enterprise in the current year, and if it chooses special tax treatment, it can be evenly included in the taxable income of each year within the period of five tax years (see Article 6 of the Notice of the State Administration of Taxation on Several Issues Concerning the Treatment of Enterprise Income Tax in Enterprise Restructuring Business (Cai Shui 200959 No.)); 2.If a resident enterprise invests in a non-resident enterprise with 100% direct control relationship with its assets or equity, if it chooses special tax treatment, the income from the transfer of assets or equity can be evenly included in the taxable income of each year within 10 tax years (see Article 8 of the Notice of the State Administration of Taxation on Several Issues Concerning the Treatment of Enterprise Income Tax on Enterprise Restructuring Business (Cai Shui No. 200959)).

The debt restructuring agreement contains the following: the debtor's business plan; classification of claims; adjustment and repayment of claims; the implementation period and supervision period of the restructuring plan; and other options that would benefit the debtor's reorganization. Drain and shout.

[Legal basis].Article 81 of the Enterprise Bankruptcy Law of the People's Republic of China.

The draft reorganization plan shall include the following:

1) the debtor's business plan;

2) Classification of the right to return debts;

3) a creditor's rights adjustment plan;

4) the plan for repayment of creditor's rights;

5) the duration of the implementation of the reorganization plan;

6) the period of supervision of the implementation of the reorganization plan;

7) Other programs conducive to the reorganization of the debtor.

Article 86.

The reorganization plan shall be adopted when the draft reorganization plan is approved by all voting groups.

Within 10 days from the date of adoption of the reorganization plan, the debtor or the administrator shall submit an application to the people's court for approval of the reorganization plan. Where the people's court finds upon review that it complies with the provisions of this Law, it shall rule to approve the application within 30 days of receiving the application, terminate the reorganization procedure, and make a public announcement.

Legal analysis: The debt restructuring agreement contains the following contents: the debtor's business plan; classification of claims; Adjustment of claims and repayment of claims; The implementation and supervision periods required to carry out a reorganization rebate plan and other options in favour of the debtor's reorganization.

Legal basis: Article 81 of the Enterprise Bankruptcy Law of the People's Republic of China The draft reorganization plan shall include the following contents: (1) the debtor's business plan; (2) Classification of creditor's rights; 3) a creditor's rights adjustment plan; (4) Creditor's rights repayment plan; 5) the duration of the implementation of the reorganization plan; (6) The period for supervising the implementation of the reorganization plan and the prudent demarcation; 7) Other programs conducive to the reorganization of the debtor.

The debt restructuring agreement contains the following elements: the debtor's business plan; classification of claims; Adjustment of claims and repayment of claims; The duration of implementation and supervision required to proceed with the reorganization plan and other options in favour of the debtor's reorganization.

1. What are the conditions for debt restructuring?

Conditions for debt restructuring:

1. The debtor must be in a state of continuous operation. This is the main criterion for distinguishing between debt restructuring and bankruptcy liquidation;

2. The debtor must have financial difficulties. It is necessary to carry out debt restructuring only if the debtor enterprise is in difficulty in operation, or is unable to raise sufficient funds to repay the due debts due to poor capital allocation;

3. Creditors must make concessions. It can be seen that the debt restructuring defined by China's accounting standards is narrow.

2. What are the key points of the debt restructuring plan?

1. Adjustment of debt structure: alleviate short-term burdens and do the disposal and revitalization of non-performing assets.

2. Adjustment of business structure: In order to adjust the business structure more smoothly, this process is often accompanied by the adjustment of management and even equity.

3. Any debt restructuring is not a simple model that can be completely solved, and it is often a comprehensive use of a variety of means to adapt to the characteristics of different types of debts and meet the interests and needs of different creditors.

3. What are the conditions for debt restructuring.

1) The debtor must be in a going concern. This is the main criterion for distinguishing between debt restructuring and bankruptcy liquidation;

2) The debtor must have incurred financial difficulties. Debt restructuring is only necessary when the debtor enterprise has operational difficulties, or is unable to raise sufficient funds to repay the debts due to poor capital scheduling.

3) It must be the creditor who has made a concession. It can be seen that the debt restructuring defined by China's accounting standards is narrow.

Article 81 of the Enterprise Bankruptcy Law of the People's Republic of China The draft reorganization plan shall include the following contents: (1) the debtor's business plan; (2) Classification of creditor's rights; (3) the adjustment plan for the dismantling of creditor's rights; 4) the plan for repayment of creditor's rights; 5) the duration of the implementation of the reorganization plan; 6) the period of supervision of the implementation of the reorganization plan; 7) Other programs conducive to the reorganization of the debtor.

We have heard a lot of asset restructuring in our lives, that is, the reorganization of assets as follows, so what is debt restructuring, debt restructuring is to reorganize debts, strictly speaking, that is, the debtor has a lot of financial difficulties, and the creditor makes certain concessions according to the agreement reached by the original two parties, because of the financial difficulties of the other party, and modifies the following repayment conditions or repayment methods of the original debt, as long as the repayment conditions are different from before, it can be regarded as debt restructuring. The first is that the debtor uses his own cash, inventory, national assets, etc. to repay the debt, but if the same amount of cash is used to repay the debt, then it is not a debt restructuring, such as using his own real estate to pay off the debt, which is to pay off the debt with assets; The second is to convert debts into capital, and creditors convert their claims into equity, such as joint-stock companies; The third is to modify other debt conditions, such as reducing the principal amount of the debt, exempting the interest that should be paid to Zhiyunqiao, and so on. Then the fourth is a combination of the previous three.

However, if the debtor converts the issued bonds into equity because there is no change in the quiet agreement between them, or if it is liquidated or reorganized because of bankruptcy, but the rights and obligations have not changed, and the debtor borrows new debts to pay off old debts, these cannot be called debt restructuring. So what should be written in a debt restructuring agreement? First, it is necessary to clearly state the creditor's rights and debts between the parties to the agreement, that is, who owes whom; second, it is necessary to write about the assignment of claims and debts between the parties to the agreement; third, which claims and debts need to be set-off; Fourth, the promises and guarantees made between the parties to the agreement on when to repay the debt, or to waive interest; Fifth, if there is a dispute between the two parties, the dispute will be resolved.

Sixth, when the agreement will take effect, and so on. The above content must be written clearly in order to better carry out debt restructuring. Debt restructuring is originally an act between the parties after negotiation, so the interests of both parties should be balanced in accordance with the principle of equality and voluntariness.

A debt restructuring agreement is an agreement between a creditor and a debtor. Legal basis: Article 549 of the Civil Code of the People's Republic of China Under any of the following circumstances, the debtor may claim set-off against the assignee:

1) When the debtor receives the notice of assignment of creditor's rights, the debtor has a creditor's right against the transferor, and the debtor's creditor's right matures before or at the same time as the assigned creditor's right; (2) The debtor's debt and the creditor's right to the bank are based on the same contract.

How to write a debt restructuring agreement: First, the basic identity information of the debtor and creditor should be clearly stated. Then, the name, quantity, amount, value, method of restructuring, liability for breach of contract, etc., should be clearly stated. Finally, it is signed by both parties and the time is confirmed.

[Legal basis].

Article 79 of the Enterprise Bankruptcy Law of the People's Republic of China.

The debtor or the administrator shall, within six months from the date on which the people's court determines the reorganization of the debtor, submit a draft reorganization plan to the people's court and the creditors' conference at the same time.

At the expiration of the time limit provided for in the preceding paragraph, at the request of the debtor or the administrator, there is a legitimate reason, the people's court may rule to extend it by three months.

If the debtor or the administrator fails to submit a draft reorganization plan on time, the people's court shall rule to terminate the reorganization procedure and declare the debtor bankrupt.

Legal Analysis: A debt restructuring agreement refers to an agreement entered into between a creditor and a debtor.

Legal basis: Article 549 of the Civil Code of the People's Republic of China Under any of the following circumstances, the debtor may claim set-off against the assignee:

1) When the debtor receives the notice of assignment of creditor's rights, the debtor has a creditor's right against the transferor, and the debtor's creditor's right matures before or at the same time as the assigned creditor's right;

2) The creditor's claim of the debtor and the creditor's right transferred by hail are based on the same contract.