Category: Tax

Legal Health Check for Your Chinese Subsidiary in 2023

From 8 January 2023, China dropped mandatory quarantine for inbound travelers and opened its borders. For the first time in 3 years, international travelers can utilise the 24/ 72/ 144 visa-exemption transit policy for short business trips. And Chinese nationals can freely travel aboard. For many European or American stakeholders with Chinese subsidiaries, the lifted…

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One stop e-platform simplifies de-registration in China

In 2016, the State Administration for Industry and Commerce (‘SAIC’) introduced a simplified de-registration procedure. Namely, the SAIC adopted ‘The Guidance opinions on comprehensively promoting the reform of simple de-registration of enterprises ([2016] No. 253’, (‘Guidance Opinions’) on December 26, 2016. The simplified de-register procedure was further bolstered in 2018 and 2021 with the adoption…

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Tax -effective supply chain planning in China

Complex supply chains require comprehensive tax-effective planning. Especially in cross-border businesses or middle-size and large-scale corporations, integrated tax planning which optimises tax policies and incentives, according to the laws, is crucial to the overall business development and operations. For comprehensive tax planning, tax policies should be applied with a deep understanding of the company's business…

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Why transfer pricing risks emerge in M&A?

In 2021, mergers and acquisitions (M&A) cases completed in China broke new historical heights, according to the data from the Ministry of Commerce in China. Successful M&A should encompass various elements of the business operations, including operations, strategy, culture, employee management, system, and so forth. In the M&A process, Chief Finance Officers ('CFO') should consider…

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