Malaysia
Hotline: +603-2141 8908
WFOE (wholly foreign owned enterprise) is a business entity formed in
China entirely with foreign capital. It is totally under foreign control and
does not have any formal Chinese ownership participation. For a foreign company
to be able to issue receipts and export goods from China, it must be able to
legally registered as a local company or a WFOE. A WFOE is set up as limited
liability entity and represents separate legal persons and is taxed according
to local legislation.
Guangzhou WFOE
Registration-Advantages of WFOE in Guangzhou
- Independence and freedom to implement the worldwide strategies of its
parent company without having to consider -the involvement of the Chinese
partner;
- Ability to formally carry on business rather than just a representative
office function;
- Issue invoices to their customers in RMB and receive RMB revenues.
Convert RMB profits to US dollars for remittance to their parent company
outside.
- Cheap labor, which can lower your cost;
- Not required to share profits with Chinese counterpart;
- Greater efficiency in its operations, management and future development.
Guangzhou WFOE
Registration-Application Documents for WFOE in Guangzhou
- A project proposal and feasibility study report (in print and under the
company seal);
- Original copies of the application paper and the resolution by the
Chairman of the Board of the foreign investor (in printed form signed by
members of the Board and with company chop);
- Copies of the business licenses of certificates of incorporation of the
foreign investor (usually with the permission chop from the government
department.)
- An original copy of leasing agreement with chop of the Housing
Department.
- Directors name list of board or management.
- An original copy of the corporate ratification paper (2 copies in
duplicate).
- Two original bank credibility letters for the foreign investors, stating
7-digits bank balances, issued within 6 months in both English and Chinese
language.
- A copy of the approval paper for corporate formation and other papers for
company alterations (the original are required for check-up).
- Notice of enterprise's name confirmation appraised by the Industry &
Commerce Administrative Bureau.
- 2 photos of the legal person of WFOE.
- A copy of the stub of corporate certificate of approval
Guangzhou WFOE
Registration-General Procedures and Estimated Time Frame
1) WFOE company name reservation-1 work day
2) Certificate of Approval Application-7 work days
3) Business License Registration-5-7 work days
4) Application and engraving of Company stamps-1work day
5) Organization Code License Application-1 work day
6) State Tax Registration-1 work day
7) Local Tax Registration-1 work day
8) Foreign Exchange Registration-1 work day
9) Bank account opening-10 work days
10) Financial Registration for WFOE-3 work days
11) Registration with local Customs-3 work days
12) Registration with China E-Port-3 work days
Total Time required-7~8 weeks
Guangzhou WFOE
Registration-Taxation of WFOE in Guangzhou
The China tax could be classified as follows: Value Added Tax (VAT) at
rate of 0-17%, Business Tax (BT) at rate of 3-20%, Enterprise Income Tax (EIT)
at rate of 25%, Individual Income Tax (IIT) at rate of 5-45%, Consumption Tax
by customs (CT) at rate of 3-5%, Resource Tax (RT), City Maintenance and
Construction Tax (CMCT) at rate of 1%, House Property Tax (HPT), Stamp Duty
(ST) at rate of 0.5-1%, Urban and Township Land Use Tax (UTLU)information
depends on the local stipulation). Your company name must be distinguished from
the other registered names. If the word “China” is within the company name, it
is required to be pre-approved by ICAB at national level in Beijing.
Contact us:
If you have further queries, please contact Tannet
24 hours Malaysia hotline：603-21418908;
24 hours Hong Kong hotline：852-27837818;
24 hours Shenzhen hotline：86-755-
36990589;
Email: mytannet@gmail.com
TANNET GROUP : http://www.tannet-group.net, http://en.tannet.com.my