Blog

Abstract of Foreign Investment Law of PRC

China business basic, foreign investment law, News

March 16, 2019

China’s national legislature on Friday passed the Foreign Investment Law in Beijing on March 15, 2019. This landmark legislation aims to provide stronger protection and a better business environment for overseas investors. With unified provisions for the entry, promotion, protection, and management of foreign investment, it is a new and…

Corporate Burdens-Reduced Further

News, tax

March 6, 2019

On 5th of March, 2019, Premier Li Keqiang delivered the Government Work Report to the second session of the 13th National People’s Congress in Beijing. Here are the highlights: 1. Corporate burdens In our previous blogs: Tax in china – Reduction in 2019! and Tax Reduction in China-More Details, we…

Close Your WOFE Properly-Don’t Just Give It Up!

company law

February 27, 2019

Incorporating a WOFE in China is easier now, however, shutting down a WOFE remains complicated as ever. Some foreigners think: if they don’t conduct the annual registration and tax filings, then they can just give up the WOFE. They are wrong, wrong, wrong! 1. Direct consequence If any WFOE owner…

Outline for the Development Plan of Great Bay Area

News

February 19, 2019

On 18th of Feb, 2018, the China central government issued the Outline for the Development Plan of Guangdong, Hong Kong and Macau Bay Area, the main points of the outline is listed as below: 1. Division of Great Bay Area The “Guangdong, Hong Kong and Macao Bay Area includes the…

Divorce in China-What Options You Have?

Family law, marriage law

February 17, 2019

If for some reason, the couple have to split up, what to do in China? There are two options. 1. Split up peacefully by signing a divorce agreement. Under this situation, the couple shall apply to local Civil Affairs Bureau for divorce. The Civil Affairs Bureau will issue a Certificate…

Personal Assets or Family Assets, Can You Tell?

Family law, marriage law

February 14, 2019

One of our clients called recently, he said he was going to get married to his Chinese fiancé. He wanted to know what’s the Chinese Marriage Law’s provision about family assets and asked if there is anything like prenuptial agreements in China. Generally speaking, a married person’s assets could be…

Employment Contract—Specify Terms as Detailed as Could

employment law

February 12, 2019

As we mentioned in our previous blog: Employee Handbook-Important Fact…, an employment contract has to contain some “essential clauses” as the content has been provided by related laws, which emphasize protecting the employee. However, in addition to the above mentioned clauses, employers could specify some clauses as to the probation period,…

Can I Fire an Employee Absent from Work?

employment law

February 6, 2019

Last week, one of our clients called me and asked: “An employee has been absent from work for three days, does that mean the employment contract has been terminated automatically and I can just let him go?” That is a total misunderstanding. There is no such provision in labor law…

Foreign Judgment—Updated News

litigation, News

February 2, 2019

In our previous blog, we said China court hardly enforce foreign judgement. However, on June 30, 2017, the local court in Wuhan, China (“Wuhan Court”) made a verdict ordering the recognition and enforcement of a commercial judgment rendered by LA Superior Court of USA (“LA Court”). This is the first…

New IIT Law’s Impact on Foreigners

tax

February 1, 2019

Since 1st of Jan, 2019, the new IIT law of PRC has come into effect. For foreigners working in China，what impact it will bring? Except the general rule applies to everyone, the following points are important for foreigners: 1. Who should pay IIT? What kind of income is taxable? 1)…