In China, the invoice — or fapiao (发票) — is an essential component of the State Administration of Taxation (SAT). In accordance with the Administrative Measures of the People's Republic of China for Invoices (revised in 2010), invoices refer to the certificate of payment or receipt of money made or received in purchases and sales…
Read moreMonth: January 2019
The revised Individual Income Tax (IIT) promulgated on 31 August 2018 and fully effective from 1 January marks significant changes to the individual taxation in China. Primarily, the changes relieve certain tax burdens for low and middle income-earners. In previous tax articles, we have highlighted a number of key takeaways related to IIT. For foreigners…
Read more"Guanxi" (关系 guānxì) — pronounced gwan-shee — is one of the most potent forces in Chinese culture. Its direct translation means “relationships”, however, the reality of guanxi is that it relates to “connections” formed over time by the reciprocation of social exchanges and favours, the latter often related to business. Foreigners doing business in…
Read more