Op/Ed by Chris Devonshire-Ellis
An important aspect of the recent U.S. Supreme Court ruling concerning same-sex marriage is the financial burden that non-recognizance places upon a couple. While traditional married couples have long been able to claim tax relief – also the case in China – such financial benefits have been denied same sex couples. The ruling therefore creates tax equality for all couples who have undergone a legal partnership.
The issue has some relevance to expatriates in China. Although the country neither recognizes same-sex marriage or civil unions, it can impact upon same-sex couples who wish to be together when one partner is working in China. Under these circumstances, currently only Beijing Municipality and Hong Kong will grant “spousal visas” to gay couples. This document, called “dependent resident status” in China, permits couples to live together. However, it also only permits one partner to work.
By Kimberly Wright
On June 29, 2015 the Chinese government formally released its proposal for the implementation of its integrated cross-border e-commerce experimental zones. The proposal situates Hangzhou as the focal point of e-commerce business in China and seeks to spread Hangzhou’s model for e-commerce to six other areas in Zhejiang: Ningbo, Wenzhou, Jiaxing, Huzhou, Jinhua, and Yiwu. By introducing subsidies and preferential policies for enterprises involved in e-commerce, the government hopes to facilitate cross-border e-commerce business and boost import and export business in China. Continue reading…
By Emerging Strategy
Around the world, state and foreign investment is rapidly increasing in education technology. Funding in the industry saw an upsurge of 55 percent in 2014, with numerous companies approaching a valuation mark of US$1 billion. In 2013, the total e-learning market stood at US$40.6 billion and is expected to grow to US$51.1 billion by 2016. Developments have been especially pronounced in the world’s emerging economies, where vast advancements have been made in electronics, Internet penetration and the education sector as a whole.
FIEs Required to File Annual Report Online Before October 15
On July 13, China’s Ministry of Commerce, Ministry of Finance and the State Administration of Taxation jointly released a notice, which requires all the foreign-invested enterprises (FIEs) that are registered and established in China before 2015 to log into the online reporting system and submit their annual investment & operation information (annual report) through the official website. The general filing period starts from July 16, 2015 to October 15, 2015. FIEs established after January 1, 2015 are required to file the annual report starting next year. All the relevant information will be disclosed through http://gongshi.lhnb.gov.cn/ to the public.
By Kimberly Wright
Foreigners with long-term work or business interests in Shanghai will be happy to know that applying for visas and residence permits just got a lot easier. As of July 1, the Shanghai Municipal Public Security Bureau has significantly relaxed requirements for foreign workers to apply for permanent residency, which was previously only open to senior executives at tech firms or professors at academic institutions. Other changes include foreigners no longer having to leave the country to upgrade their visa status.
The new policies for visas and residence permits will most benefit foreign experts, high earners, and exchange student graduates. However, they will only apply to foreigners working in Shanghai. In China, major cities such as Shanghai and Beijing issue their own rules on how to apply for permanent residency, even if the permanent residence permit is valid across China.
The newest issue of China Briefing Magazine, titled “Importing and Exporting in China: A Guide for Foreign Trading Companies,” is out now and available as a complimentary download in the Asia Briefing Bookstore through the month of July.
- A Period of Change: Current Import and Export Trends in China
- Understanding Business Models when Trading with China
- Beneficial Tax Schemes: Processing Trade Relief, Bonded Zones and EPZs
Over the past few decades, China has developed into a manufacturing and trading powerhouse. Now known as the Factory of the World, China’s economic model has been built on producing often low-end goods and exporting them in mass volume across the world. This model was pushed with strong government support across the board. Many tax, zoning and administrative policies still reflect this focus, such as the Processing Trade Relief, a program that waives duties and taxes for companies in China that manufacture solely for export. Continue reading…
By Stephen O’Regan
Associate, International Business Advisory
Dezan Shira & Associates, Guangzhou
Multi-Level Marketing (MLM), a type of Direct Selling System, is a marketing strategy where the company’s sales force is highly dependent on the salesmen they have hired in different tiers of selling. This is a marketing strategy in which the sales force is compensated not only for sales they generate, but also for the sales of the other salespeople that they recruit. This recruited sales force is referred to as the participant’s “down-line”, and can provide multiple levels of compensation This type of organizational structure can be quite enticing as it has the opportunity to build up a big networking distribution without investing a considerable and consistent amount of money. Continue reading…
Nicknamed the Grand Canyon State, Arizona is widely known for its natural wonders. China, one of Arizona’s top trade partners and leading export destinations, is also a top source of the state’s foreign direct investment. In 2014, the exports from Arizona to China reached up to US$1.02 billion, making China the state’s 4th largest trading partner.
Additionally, during the past few years, Arizona business leaders have viewed China as an important trade partner to be developed further. Some specific industries that are seen to have some growth potential include the agricultural, the advanced manufacturing and the aviation industries.