Profit Repatriation in China
The most common challenge encountered by Foreign Invested Enterprises (FIEs) is how to repatriate funds out of China. Since China’s policies regarding foreign exchange control are strictly regulated, repatriating funds is generally considered to be a difficult task. It is important that these firms prepare a strong repatriation strategy in order to reduce their tax burden.
Tthe most common methods of repatriating funds out of China include:
(1) Issuing Dividends to the Parent Company
(2) Service Fees, Royalties and Reimbursements
(3) Outbound Intercompany Loans.
When choosing one of these repatriation strategies, it is important to understand (a) the amount of taxes that is required to be paid, (b) the specific requirements of the repatriation strategy and (c) which mandatory procedure is to be followed.
Our Profit Repatriation White Paper takes a comprehensive look at the available methods to repatriate profits out of China. Download the White Paper now by filing in the request form on the right hand side of the page.
Additionally if you would like an expert to get in touch with you, you can request a free consultation and one of our consultants will get in touch with you and address your questions.
REQUEST YOUR PROFIT REPATRIATION WHITE PAPER
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