Foreign Permanent Representative Office,China Company Formation - Conpak CPA Limited

Foreign Representative Office

A foreign representative office is also known as a resident representative office of foreign enterprise in the PRC. The examination and approval procedure for a representative office is simple, without requiring registered capital. But a representative office cannot carry out operating activities directly; in fact, it can only carry out business liaisons, product introduction, market research and technical exchange on behalf of an offshore company within the scope of their operations. A representative office does not qualify as a legal entity, so its civil liability shall be undertaken by the offshore company it represents.

Registered Capital

No specified requirement

Required Name of Representative Office

Country/Region Name + Foreign Company Name + (in proposed district) Representative Office
For example, Hong Kong Conpak Management Consultants Ltd. (Shenzhen) Representative Office

Scope of Operation

A representative office can only carry out business liaisons, product promotion, market research and technical exchange on behalf of an offshore parent company within the scope of operations of its headquarters and cannot carry out operating activities directly in its own capacity.

Required Documents

  • Notary proof of business subsisted for two years or above of the offshore parent company
  • Notary proof of creditworthiness issued by bankers of the offshore parent company
  • Notary proof of memorandum or organisation agreement of the offshore parent company
  • Notary proof of authorised signatory of the offshore parent company and notary copy of his/her passport
  • Notary proof of appointment letters of the chief representative of the offshore parent company
  • Curricula vitae of the chief representative
  • Notary copy of the passport of the chief representative (A copy of Z-visa of the chief representative is required for certain regions of the PRC)
  • Four 2-inch colour photographs of the chief representative
  • Lease agreement or certificate of title in relation to the premises

Duration

About 15 working days

Operating Period

The term of residence of the foreign representative office is three years and shall not exceed the subsisting period of the foreign company. The representative office can apply for extension before expiry of term. In doing so, the representative office shall submit the related application report to the relevant authority 60 days before expiry.

Taxes and Fees involved in the Operation of Foreign Representative Office

Schedule of Taxes and Fees Incurred by Representative Offices in Various Places
Profits = Total Expenditure ÷ (1 - Appraised and Specified Rate of Profit)
Corporate Income Tax Payable = Profits × Appraised and Specified Rate of Profit × Corporate Income Tax Rate
(Notes: The appraised and specified rate of profit shall be equal to or greater than 15%.)
Items of Taxes/Fees Shenzhen Shanghai Beijing
VAT Report accurately. Report accurately. Report accurately.
Corporate Income Tax Quarterly Corporate Income Tax Payable = Quarterly Expenditure ÷ (1-15%) x 15% x 25% Quarterly Corporate Income Tax Payable = Quarterly Expenditure ÷ (1-15%) x 15% x 25% Quarterly Corporate Income Tax Payable = Quarterly Expenditure ÷ (1-15%) x 15% x 25%
Labor Management Fee Labor Management Fee of RMB300 payable to every employee per Labor Management Fee of RMB200 payable to every Labor Management Fee of RMB300 payable to every
Staff Social Security Fee Calculated at 15.09%-22.84% of the salary of employees Calculated at 32.2%-33.9% of the salary of employees Calculated at 30.8%-32.5% of the salary of employees
Staff Provident Fund for Housing Calculated at 5%-12% of the average monthly salary of employees for the previous year 5% -20% of his/her salary Calculated at 7% of the average monthly salary of employees for the previous year month in proportion to 7% of his/her salary Calculated at 12% of the average monthly salary of employees for the previous year

Should you have any enquires about Foreign Permanent Representative Office Incorporation, please complete the form below and we will reply to you soon.

Please fill in the following form, our professionals will reply to you after receiving your enquiry.
* Required field

Mr.     Miss.     Ms.
Verify Code  
  
Ms. Jenis Lee
+852 2666 2882
Ms. Olive Mui
+852 2666 2889
Ms. Momo Jia
+86 10 5659 1116
Ms. Alisa Ma
+86 10 5659 1126
Mr. Kidd Lv
+86 21 5389 6678
Mr. Eric Kuang
+86 21 5389 6670
Ms. Lindy Jiang
+86 755 8828 8737
Ms. Cherry Tu
+86 755 8828 8736
Individual Income Tax Calculator
China Individual Income Tax Calculator

Read More

Contact Us

Chat
Tel
Email
Loading... loading
Loading... loading