Company Formation in China
Company formation in China is tax-efficient and simple. That said, we advise all entrepreneurs considering incorporating a China company to take into account the legal, accounting and tax regulations, prior to embarking on company formation in China. In particular, Healy Consultants staff can advise on all aspects of tax planning in China. Some of the most important legal, accounting and tax regulations include: |
|
1. |
A Chinese foreign and domestic company is required to pay a corporate tax of 25%. Personal income tax is levied at a maximum of 45%. |
2. |
Branch profits may be remitted to the head office free of withholding tax, following company formation in China. Tax planning in China should also take into account that corporate dividends are also exempt from withholding tax. |
3. |
After incorporating a China company, the company may be liable to pay tax in the country in which it makes strategic decisions. A further tax advantage with a chinese entity is the double taxation treaties India has signed with many countries, including Australia, Japan, Singapore, the UK and the USA. |
4. |
China tax planning strategy is challenging because of the country's complex tax rules, despite the low corporate tax rates. |
5. |
Healy Consultants can open corporate bank accounts in the jurisdiction of choice to support company formation in China. Healy Consultants works with internationally recognised banks such as HSBC, Standard Chartered and Citibank to provide corporate bank account services. |
6. |
With China tax planning strategies, the company can set losses against future profits. |
7. |
When incorporating a China company at least one director is required. |
8. |
A Chinese company is required to have a registered company in China when incorporating a China company. |
9. |
After incorporating a China company the company must submit annual accounts to the Ministry of Finance People's Republic of China. |
10. |
Some entrepreneurs used company formation in China for holding and investment purposes. |
11. |
China is a reputable Asian jurisdiction. company formation in China therefore portrays a good image. |
Contact Us |
|
For more information on company formation in China, email email@healyconsultants.com or call us in Singapore at (+65) 6735 0120. |
|
Back to China Company Formation page. |
|
Buy the China chapter of Healy Consultants' Asia Business Set Up book for US$100, to order call +65 6735 0120 or e-mail email@healyconsultants.com
