New Issue of China Briefing: Annual Compliance, License Renewals & Audit Procedures
Jan. 7 – The new issue of China Briefing Magazine, titled Annual Compliance, License Renewals & Audit Procedures, is out now and will be temporarily available as a complimentary PDF download on the Asia Briefing Bookstore through the months of January and February 2013.
In this issue, we discuss annual compliance requirements for China foreign-invested entities, with notes on regional differences and tips from experienced accountants and auditors. Many Western parent companies today are concerned by the perfunctory nature with which annual compliance procedures are carried out in China, and with good reason. Chinese audit reports roll into group audit reports, and thus it is imperative to have confidence in these figures. Furthermore, annual compliance procedures, when conducted with care, can tell stories about what’s going on behind the scenes in a company’s operations. We detail the full audit processes for representative offices, wholly foreign owned enterprises, and joint ventures in China.
In addition to company audits, expats in China must file their annual individual income tax (IIT) declarations for 2012 earnings. We discuss IIT liability in China (which depends on income source and time period spent in China), IIT rates and calculation methods (taking into account number of days spent in China), permissible tax deductions, and how working for a permanent establishment can change tax liabilities.
Finally, we look at the current U.S. Securities and Exchange Commission proceedings against the Chinese arms of the “Big Four” accounting firms from the perspective of SME foreign investors.
In this issue:
- The Annual Compliance Process for China FIEs
- Individual Income Tax Finalization for Expatriates
- Current U.S. Securities and Exchange Proceedings
Annual Compliance, License Renewals & Audit Procedures is out now and immediately available as a complimentary PDF download on the Asia Briefing Bookstore.
Dezan Shira & Associates is a specialist foreign direct investment practice, providing corporate establishment, business advisory, tax advisory and compliance, accounting, payroll, due diligence and financial review services to multinationals investing in emerging Asia. Since its establishment in 1992, the firm has grown into one of Asia’s most versatile full-service consultancies with operational offices across China, Hong Kong, India, Singapore and Vietnam as well as liaison offices in Italy and the United States.
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