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Fiscal Representative in China

Fiscal Representative in China

If you want to start a company in China, it is good to consider having a representative fiscal. This specialist can deal with the procedures related to VAT registration and obtaining the necessary code for companies from other countries than China. In the following lines, you can find out some of the responsibilities of a tax representative in China, noting that you can always call on our services in this direction. We are also here to help you with company formation in China.

What does the fiscal representative in China do?

The fiscal representative in China is in charge of VAT registration in this country of non-resident companies. Practically, this is an obligation. Here are the main responsibilities and tasks of a tax representative in China:

  • Prepares the necessary documents for registering and requesting a VAT code in China. Among them, some standard forms provided by fiscal authorities and a copy of the Articles of Association of the firm in question are filled out.
  • A tax representative in China can fulfill his duties regarding VAT registration only with power of attorney.
  • The tax agent must ensure that the VAT payment is made periodically, as required by the local authorities.
  • Also, the fiscal representative in China can deal with VAT returns and other fiscal declarations on behalf of the foreign company.

These are some of the tasks and obligations of a fiscal representative in China. If you want to open a company in China and want to benefit from the services of this specialist, do not hesitate to contact our firm.

Do local companies need a fiscal representative in China?

If you want to set up a company in China as a resident of this country, you do not need to appoint a fiscal representative. However, it is recommended to do this because a second specialist can take care of many important aspects related to VAT. We can offer you complete help in this endeavor, so do not hesitate to contact our company formation agents in China.

Do I need a fiscal representative for cross-border e-commerce activities in China?

Yes, if you want to carry out activities in the e-commerce sector in China, you must also consider the appointment of a tax representative. Cross-border e-commerce means online trade activities, with the sale and purchase of products and services from different countries and/or regions. Foreign companies registered in China can directly address the local consumer market, either having a physical presence in this country or in other countries where a different taxation regime will be respected. We advise you to contact us if you want to open a WOFE in China and appoint a fiscal representative.

VAT rates in China

The standard VAT in China is 13% and applies to most goods and services available for sale purposes on the market. Here are other data:

  • A 9% VAT rate applies for water supply, gas, agricultural products, transportation services, sales of immovable property, etc.
  • A 6% VAT rate applies to telecommunications services, consumer and financial services, among others.
  • 0% VAT applies for services in the research and development sector, export of goods, software services, technology transfer, etc.

In addition to the services offered by a fiscal representative, you can also opt for those of our accountants in China. We are here and you can contact us for more information about company incorporation in China and related requirements.