Search Results for: business

CHINA | What the Liǎng huì (Two Sessions) 2023 Means for Foreign Investment 

China finished its annual legislative meetings of the Chinese People Political Consultative Conference (CPPCC) and the National People’s Congress (‘NPC’) in Beijing – commonly referred to as the Two Sessions (Liǎng huì).

The Two Sessions is an insight into the overarching economic and political direction.With the current geopolitical tensions between China and the West and cabinet changes, this year’s Two Sessions are more significant and historical for businesses than previous years.

Notable, the Two Sessions highlighted priorities are to stabilise the economy […]

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CHINA | Prepare for Changes to Personal Data Transfers

Standard Contract for international personal data transfers finalised and comes into effect on 1 June 2023.  

On 24 February 2023, the Cyberspace Administration of China (“CAC”) issued the Measures for the Standard Contract for Outbound Cross-border Transfer of Personal Information (“Measures”). Primarily, the Measures finalise the Standard Contract between the recipient and sender. One of the key components in cross-border personal data transfers. And further supplements the overarching law, Personal Information Protection Law, that regulates personal data. The Measures furthers […]

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CHINA | Are You Illegally Distributing Dividends?

Distributing dividends in China from the company’s capital contributions is prohibited.

Any capital reduction shall be agreed by the board of shareholders and shareholders’ resolutions shall be passed. However, capital reduction shall not be conducted for the purpose of dividends.

At Horizons, we encounter many cases of indirect illegal dividends distribution, where the overseas headquarters are not alert to the legal obligations before distributing dividends in China. Hence, understanding and implementing the correct dividend distribution is a must for any headquarters with […]

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