Category: Tax

Data Dump: China’s Taxman Wants to Know More

The State Administration of Taxation (SAT) recently requested that approximately 1,000 foreign and domestic companies provide a wide range of tax, financial, and accounting data, raising US-China Business Council (USCBC) member company concern about the intent and intrusiveness of the...

/ June 13, 2016

China Plugs Cross-border E-commerce Import Tax Loophole

The Chinese government has for the first time clarified tax policies for goods imported under the cross-border e-commerce model in an effort to regain control of the loosely regulated market. This new policy can enable foreign merchants to sell imported...

/ May 9, 2016

Drop in China’s social insurance rates could cut labor costs

Rising labor costs in China are setting off alarms with foreign investors because of increasing minimum wages and living standards, as well as the extensively developed social security system. However, as the central government exerts pressure to maintain economic growth...

/ May 6, 2016

Life Services Companies Catch a Break

A new value-added tax (VAT) reform has recently been implemented in China that could fundamentally alter the accounting systems of small and medium enterprises doing business within the country.

/ May 4, 2016

13th Five Year Plan Stresses Economic Restructuring

The PRC National People’s Congress recently released China's 13th Five-Year Plan (FYP) on National Economic and Social Development to outline economic policies and targets to drive industry development in China through 2020. As companies form their corporate objectives, identifying areas...

/ April 14, 2016

How to Become a Certified Chinese Tax Resident

When a foreign business or individual makes income in China, it may be subject to tax in both the business or individual’s home country and China, which could substantially increase their tax burden. Many investors therefore choose to set up...

/ March 23, 2016

Know the Books of Bookkeeping in China

 For US-based small and medium companies with representative offices in China, it’s important to think through internal bookkeeping structures and plans. Severe legal implications and financial consequences lie ahead for companies processing payroll and bookkeeping without relevant qualifications.

/ March 18, 2016

As China tweaks social policies, maternity leave grows in Shanghai

Shanghai’s maternity leave has increased from the national baseline of 98 days to 128 days, and paternity leave remains at 10 days. Married couples in Shanghai are also entitled to seven days marriage leave in addition to the three-day national...

/ March 16, 2016

Relocating Operations: Effective Communication Strategies

By Owen Haacke Rising costs, changing demand, and new zoning requirements are a few of the reasons companies may relocate their operations within China. Be it anticipated or unexpected, intercity or interprovincial—moving an operating facility is a complex, expensive, and...

/ April 22, 2015

China Continues Rural Support with Agribusiness Tax Incentives

By Amy Ling and Hardy Zhou This year marks the 11th consecutive year in which the Central Committee of the Communist Party of China has focused on rural issues in its most important policy statement of the year, the No....

/ October 16, 2014