AsiaBS
Company Formation
China Company
Representative Office
Company Formation
such as BVI, Samoa etc.
Company Parking
Service in Hong Kong
Service in China
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China government decree new "RO regulations for foreign enterprises" will be effect on March - 1, 2011. And main different between current and new regulation is here.
For Representative Office (RO) setup, mother company needs to be at least 2 years old.
And, below cost and fee are examples and applicable only to big cities like Shanghai (SH) and Beijing (BJ). Please contact us for further detail. Thank You.
For Representative Office (RO) setup, mother company needs to be at least 2 years old.
And, below cost and fee are examples and applicable only to big cities like Shanghai (SH) and Beijing (BJ). Please contact us for further detail. Thank You.
Features and advantages
How to set up?
How to maintain?
Other information
How to set up?
How to maintain?
Other information
Tax Implications
Although a RO is not to conduct business, it attracts tax on
- Chief Representative, general representative and local staff's Individual Income Tax (IIT) on monthly income;
- Business Tax (BT) base on quarterly operational expenses;
- Income Tax (IT) base on quarterly operational expenses;
- Additional Tax base on quarterly Business Tax (BT).
Rough elaboration on BT & IT payable
Additional Tax-
Business Tax = Deemed Turnover x 5% Total Expenses = Deemed Turnover x 80% Deemed Turnover = Total Expenses / 80% Business Tax = (Total Expenses / 80%) x 5% Income Tax = Deemed Profit x 25% Deemed Profit = Deemed Turnover x 15% Income Tax = (Total Expenses / 80%) x 15% x 25% Business Tax + Income Tax = (Total Expenses / 80%) x (5% + 15% x 25%) Business Tax + Income Tax = (Total Expenses / 80%) x 8.75% Therefore, Business Tax + Income Tax = Total Expenses x 11%
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River Tax = Business Tax x 1% Urban Maintenance and Construction Tax = Business Tax x 7% Education Surcharge = Business Tax x 3%
Important
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