Due 31 May · every China entity

China corporate income tax settlement, filed by 31 May

Every company in China settles its corporate income tax for the previous year by 31 May. The part that catches foreign-invested companies out is not the return — it is the book-to-tax adjustments, the substantiation rules for deductions, and the fact that the filing is in Chinese and on a Chinese portal. We do the settlement, issue the opinion in English and Chinese, and file it for you.

  • Five working days — from complete documents to a signed settlement opinion; two days if it is urgent
  • Filed for you — the return submitted on the Chinese tax portal, with the confirmation sent back to you
  • Bilingual as standard — the opinion, the adjustment schedule and the summary all issued in English and Chinese
  • Fixed fee in writing — on the published Guangdong fee scale — agreed before we start

Timing

The dates that catch people out

The settlement itself is not difficult. Finding out about it in May is.

31 May — the hard deadline

The annual corporate income tax settlement for the previous financial year is due. Late filing carries a surcharge of 0.05% of the tax per day, and it is levied automatically.

January to April — when it is cheap

Books closed, adjustments agreed, documents gathered. This is when the work is calm and the questions are answerable. In May, everything is a scramble.

All year — the substantiation rule

A deduction without a compliant Chinese invoice (fapiao) is disallowed. That is decided by what happened during the year, not by what we can do in May.

Scope of services

What the work actually covers

Written out in detail on purpose. If you are comparing firms, this is the list to put side by side with theirs.

Deliverables

What lands on your desk

The settlement opinion

The signed tax settlement opinion, carrying our practice licence number. Issued in Chinese and in English.

The completed return

The CIT annual return as filed, with every figure traceable to the accounts.

Adjustment schedule

Every book-to-tax adjustment listed, with the statutory basis and the amount. This is the document your head office finance team will want.

Filing confirmation

The tax bureau’s confirmation, so you have proof of filing for your own records and auditors.

Risk notes for next year

What we would change in how the books are kept, so the next settlement is cheaper and cleaner.

English summary

A one-page English summary of the tax position, written for someone who does not read Chinese.

Also worth knowing

Often handled in the same engagement

Statutory annual audit

The year-end audit behind the combined annual report. Most clients settle both together.

FX annual inspection

The annual foreign-exchange filing for foreign-invested entities, in the same spring window.

The annual compliance package

Audit, settlement, FX inspection and annual report filing, in one fixed fee and one calendar.

Indicative fee

Price it yourself before you talk to us

Put in your revenue or total assets and tick what you need. The number that comes out is the fixed fee we quote — on the published fee scale, not a figure invented per enquiry.

Priced on whichever is larger — the same basis the fee scale uses.

Enter your revenue or total assets above and the price appears here.

Fee bands

The scale, out in the open

The standard fee comes off the published progressive scale (Yue Jia [2011] No.308); the band is set by your annual revenue or your total assets, whichever is larger. Our fee is the standard fee after the firm discount, with the English and Chinese bilingual reports and the filing included.

Revenue or total assetsStandard feeOur fee

Standard service. Expedited service, two working days instead of five, adds 30%. Above RMB 1bn, or where the affairs are unusually complex, we quote in writing. Indicative only — the written quote governs.

Process

From first email to finished work

01  You send the basics

Entity type, what has been requested, and when it is due. One email is enough to start.

02  Scope and fixed fee

We come back within one business day with a written scope, a fixed fee and dates.

03  Documents and fieldwork

One document request list. We work from it, and visit site only where the work genuinely needs it.

04  Delivery and follow-through

Signed output in English or bilingual, plus support through whatever filing follows.

Fees

How we price it

Fixed, in writing, before fieldwork starts. The drivers below are the ones that actually move the number — we tell you which of them apply to you in the first reply, not after you have signed.

  • Entity size, number of bank accounts and transaction volume
  • Whether prior-year figures are audited or management-prepared
  • Reporting language: English, Chinese, or bilingual
  • Whether group reporting requires a GAAP reconciliation
  • How much of the bookkeeping we have to rebuild first

FAQ

Questions about the CIT settlement

Is the settlement opinion actually mandatory?

Not for every company. In practice it is required, or strongly expected, where you are claiming a tax preference, carrying losses forward, applying for a refund, or where the tax bureau asks for it. Most foreign-invested companies fall into at least one of those.

How fast can you turn it around?

Five working days from complete documents. Two working days on the express option. The constraint is almost always documents rather than our capacity.

What happens if we file late?

A surcharge of 0.05% of the tax due per day from the deadline, applied automatically by the system. It is not negotiable after the fact, which is why we plan back from the date.

Can you file on our behalf?

Yes, and it is included rather than charged as an extra. You get the filing confirmation back.

Do you work from our existing books?

Yes. If we find adjustments you should make, we list them and explain them rather than silently re-stating your accounts.

Send us the year end and the tax position.

Tell us the entity type, the financial year and whether anything is already overdue. You will have a written scope, a fixed fee and dates within one business day.