- info@kaizencpa.com
- Our Office: USA - Hong Kong - Shenzhen - Shanghai - Beijing - Taiwan - Singapore - Japan - UK
+852 2341 1444(Hong Kong)
Search for anything.
Knowledge
- Home
- Knowledge
- China
Introduction to China's Capital Account Settlement Management Policies
In order to better meet and facilitate the business and capital operation needs of domestic enterprises, the State Administration of Foreign Exchange has unified and standardized the management of the willing settlement and payment of foreign exchange income under capital accounts throughout the country.
Compensation Liability of Director and Senior Management
The revised Company Law of the PRC, which came into force on 1 July 2024, significantly increases the compliance obligations and legal liabilities of the directors, supervisors and senior management personnel. Below is a summary of the compensation liabilities of the directors, supervisors and senior management personnel under the Company Law for your easy reference.
Liabilities for Shareholder’s Insufficient Capital Contribution
The Company Law of the PRC, which came into effect on 1 July 2024, strengthens the supervision of shareholder’s capital contributions and explicitly specifies the legal liabilities and consequences arising from shareholder’s insufficient capital contribution. Insufficient capital contribution includes not paying capital contribution in full and on time, or the actual value of non-monetary assets served as capital contribution is significantly lower than the subscribed capital contribution.
New Registered Capital Rules under the Revised Company Law of the PRC
According to Article 47 and Article of 52 of the revised Company Law, the registered capital subscribed by all the shareholders of a limited liability company shall be fully contributed within 5 years upon incorporation of the company. If the shareholders fail to pay their subscribed registered capital within the prescribed time and grace period, they may lose the equity of the unpaid registered capital.
Capital Contribution Liabilities after Equity Transfer
The Company Law of the PRC, which came into effect on 1 July 2024, expressly stipulates the capital contribution liabilities of the transferor and transferee after equity transfer in a limited liability company.According to paragraph one of Article 88 of the Company Law, when a shareholder of a limited liability company transfers the subscribed equity that has not yet reached the deadline for capital contribution, the transferee shall firstly assume the obligation to make capital contribution.
LLC Organization Structure under New PRC Company Law
The organization structure of a limited liability company (LLC) includes shareholders’ meeting, board of directors, board of supervisors and manger. The new Company Law of the PRC which came into force on 1 July 2024 has made significant adjustments to the organization structure of LLC.
Reciprocal Enforcement of Judgments in Mainland and HK
After the Arrangement on Reciprocal Recognition and Enforcement of Judgments in Civil and Commercial Matters by the Courts of the Mainland and of the Hong Kong Special Administrative Region (HKSAR) came into force on 29 January 2024, effective civil and commercial judgments given by the Mainland and Hong Kong courts on or after 29 January 2024 may apply for reciprocal recognition and enforcement in accordance with the foregoing arrangement.
Key Points of the Latest Revision to Company Law of the PRC
Recently, the Company Law of the PRC has been revised and adopted at the 7th Session of the Standing Committee of the Fourteenth National People's Congress of the PRC. The revised Company Law of the PRC will come into force on 1 July 2024. The key points of the revision include:
How to Set up a Café in Beijing
First, investors need to lease café operating premises before starting the registration process. According to experience, the site selection should avoid the residential building area, and choose a place with water supply, power supply, ventilation, and smoke exhaust as sufficient as possible. In order to avoid being rejected when applying for business license or other special license
China ICP Filing Requirements for APP
On 4 August 2023, the Ministry of Industry and Information Technology of the PRC released a circular on the implementation of APP filings on its official website, which clarified that APP providers engaged in internet information services within the territory of the PRC shall complete the internet content provider (ICP) filing procedures in accordance with the relevant laws and regulations of the PRC.