Tag Archives: employee

CROSS-BORDER SECONDMENTS – PRC TAX/EMPLOYMENT
April-May China Bulletin

State Administration for Taxation (SAT) issued Announcement 19, [2013] No. 19, with effect from June 1, 2013, providing guidance on seconding expatriates to China.  Many U.S. companies send expatriate employees to work in China on a temporary basis.  If considered employees of the U.S. company while rendering services in China for more than six months in a year, a service permanent establishment (PE) of the U.S. company will normally be created retroactively in China under relevant double-taxation agreements.  A U.S. company with a PE must file Enterprise Income Tax (EIT) returns and pay EIT on actual or deemed income in China. Continue reading

NEW VISA CATEGORIES FOR FOREIGN PROFESSIONALS
April-May China Bulletin

The State Council issued the draft Administration for Regulation of Entry and Exit of Foreigners, expected to become effective July 1, 2013, building on the Exit-Entry Administration Law of China [see June 2012 China Bulletin] increasing the number of types of ordinary visas from eight to 12.  The most significant change will be that these regulations add an R visa as part of China’s effort to attract foreign talent. Continue reading