Category: Finance

Finance, accounting and all other money-related issues for US businesses in China.

The New Rules of Tax Residency: A Potential Trap for Foreigners?

US and other foreign businesses now face higher income taxes in mainland China following new rules issued in March by China’s tax administration. The new law and implementing rules impose tax filing obligations on the worldwide income of foreigners (which...

/ May 15, 2019

China Releases Green Industry Guidance Catalogue: Opportunities for US Business?

This article was originally published by the Paulson Institute. China released its new Green Industries Guidance Catalogue to help promote green development through clarifying the definition of “green industry” as well as harmonizing differing standards for sustainability. This new catalogue,...

/ April 26, 2019

Individual Income Tax for Expats in China

China’s Individual Income Tax (IIT) Law stipulates that all individuals working and deriving income from within the territory of China are subject to IIT. While Chinese nationals are taxed on all income sourced both domestically and overseas, non-Chinese nationals are...

Securing Employees’ Financial Futures

Asian economies are grappling with ageing populations, which place government finances under strain while putting pressure on individual savings as an additional source of income in retirement. The impact is felt more in developed countries, which are at a more...

/ June 14, 2017

China’s RMB Exchange Rate Issue Needs Objectivity

On February 24, hours after his new Secretary of Treasury, Steven Mnuchin, pledged a more methodical approach to analyzing China’s foreign exchange policy, US President Donald Trump publicly criticized China, labeling the Chinese as the "grand champions" of currency manipulation.

/ April 19, 2017

The Road to Globalization for Chinese Multinationals

Chinese companies looking for deals abroad face five main challenges when globalizing through M&A —including the often overlooked human capital.

/ April 14, 2017

Preventing Insolvency: How to Plan Cash Flow and Financing of a WFOE in China

Forecasting the financial performance of a proposed business and accurately assessing the investment required to launch operations is always a complex affair. In China, where foreign currency restrictions significantly complicate cross-border transactions, the strategic planning of funding foreign-invested entities (FIEs)...

/ March 29, 2017

How Can Individuals, Companies be Limited by  Bad Social Credit in China?

A new government system that evaluates and tracks “untrustworthy” individuals and companies could limit eligibility for financing, employment, and Party membership, as well restrict real estate transactions and travel. The Chinese government intends to fully implement this nationwide social credit...

/ February 3, 2017

Minimum Wage Rises in the Cities, Stalls in the Provinces

Minimum wages in China’s major cities rose in 2016, signaling the continued development of an emerging consumer class as much as increasing pressure on company labor costs. But the increases also point to an increasing divide, as wage growth stagnates...

/ January 25, 2017

Breaking Ground: Chinese Investment in US Real Estate

Chinese direct investment in US real estate,negligible until 2010, has grown dramatically and visibly. In 2015, China ranked third in US commercial real estate acquisition volume, trailing only Canada and Singapore, and tied with Norway.

/ January 11, 2017