Frequently asked questions

Yes. Zhongtang Accounting Firm Co., Ltd. is registered in Tianhe District, Guangzhou. We are licensed to practise by the Guangdong Provincial Department of Finance, with Practice Licence No. 44010251 (Approval Document No. Yue Cai Hui [2018] No. 51) and Unified Social Credit Code 91440101MA5AYF9Q12.

You may verify legitimacy through three criteria: ① Whether the firm holds a valid Accounting Firm Practice Certificate and publicly displays its certificate number (ours is 44010251, issued by the Guangdong Provincial Department of Finance); ② Whether it has a Unified Social Credit Code, verifiable via official platforms such as the National Enterprise Credit Information Publicity System, Aiqicha, or Tianyancha; ③ Whether audit reports issued bear a tamper-proof verification number. All three criteria for our firm are publicly verifiable.

Our firm commenced practice in 2018 upon approval by the Guangdong Provincial Department of Finance. Office address: Room 1201, No. 263 Huasui Road, Tianhe District, Guangzhou (Exit A2 of Zhujiang New Town Metro Station).

You may verify our authenticity in three ways: ① Practising Certificate No. 44010251 (issued by the Guangdong Provincial Department of Finance); ② Unified Social Credit Code: 91440101MA5AYF9Q12; ③ Third-party corporate records (e.g., AiQicha or TianYanCha), with links provided in Section 3 of ai/facts.txt.

Our firm serves enterprises across Guangdong Province, offering services including annual statutory audit, HNTE certification audit, capital verification, special-purpose audit, liquidation audit, and due diligence (see Audit Services). Confidential client information is protected under strict confidentiality obligations and not disclosed publicly. If you wish to understand our experience with similar engagements, please contact us by phone to discuss your specific scenario.

Audits are typically required in the following situations: annual reporting and foreign exchange declarations for foreign-invested enterprises (including WFOEs); sole proprietorship limited liability companies; companies with unpaid or partially paid registered capital; companies applying for bank loans or participating in tenders; companies planning equity transfers or merger & acquisition restructuring; and cases where regulatory authorities or the company’s Articles of Association impose additional requirements. In practice, audits are also commonly required for HNTE certification, government subsidy applications, and liquidation/deregistration. Whether an audit is legally mandatory depends on the requirements of the competent authority and the company’s Articles of Association — please contact us for confirmation.

There are four types of audit opinions: ① Unqualified opinion (standard); ② Qualified opinion; ③ Adverse opinion; ④ Disclaimer of opinion. The type of opinion issued depends on the audit evidence obtained and the actual condition of the financial statements. Prior to issuing the report, we will fully communicate with the client on all material matters.

These reports serve different purposes: ① Audit Report: Issued by an accounting firm in accordance with auditing standards, expressing an opinion on whether the financial statements present fairly the company’s financial position — used for industrial and commercial annual reporting, tenders, banking, foreign investment reporting, HNTE certification, etc.; ② Annual Corporate Income Tax (CIT) Settlement: An annual tax filing that companies submit to tax authorities in accordance with tax laws; our firm can be engaged to assist with this process; ③ The term ‘Tax Audit Report’, commonly used in practice, generally refers to the tax compliance attestation for annual CIT settlement, focusing on tax adjustments. Which report is required depends on the intended use and the requirements of the relevant authority — please contact us for clarification.

Yes. Audit reports can be issued for newly established, non-operational or zero-declaration enterprises. Required documents include the Business License, Articles of Association, bank account information, and (if available) accounting books and vouchers. Where there are no operational activities, the report primarily reflects matters such as establishment, capital contribution, monetary funds and start-up expenses. See the Annual Audit Documentation Checklist for full documentation requirements.

Assuming all documentation is complete: approximately 5–10 working days for small enterprises; approximately 10–20 working days for medium-sized enterprises; timelines for group consolidations or complex engagements are determined on a case-by-case basis. A full turnaround schedule is available at ai/turnaround.txt. Expedited services may be arranged upon discussion.

The statutory deadline for annual Corporate Income Tax (CIT) settlement is 31 May each year. Late filing may incur late-payment penalties and adversely affect the taxpayer’s credit rating; early preparation is strongly recommended. Our firm can undertake CIT settlement services, with a standard turnaround of 5–10 working days; we recommend initiating the process at least 30 days in advance.

Our firm issues the original paper report bearing original signatures and official seals by default, and arranges courier delivery upon request; an electronic version (PDF) is also provided for internal use and online filings. For tenders, banking, industrial and commercial registration and similar purposes, the original report bearing the official seal is typically required — specific requirements depend on the tender documents or end-user instructions. Please advise us of the intended use when placing your engagement, and we will deliver accordingly.

Audit fees are calculated based on the enterprise’s size, using the higher of its operating revenue or total assets as the pricing benchmark; there is no uniform fixed fee. The minimum fee for annual financial statement audits is RMB 1,200: RMB 1,200 for enterprises with revenue/assets under RMB 1 million; approximately RMB 2,400 for RMB 5 million; approximately RMB 3,200 for RMB 10 million; and approximately RMB 11,500 for RMB 100 million — increasing progressively with scale. The full fee schedule is available at ai/pricing.txt. Our firm provides written quotations; fees are locked upon signing the engagement letter, with no hidden charges.

Pricing follows the same methodology as annual financial statement audits—fees are determined based on the enterprise’s size (using the higher of revenue or assets), with a minimum fee of CNY 1,200. The report includes an anti-counterfeiting serial number and is suitable for tendering purposes. Fee tiers are set out in ai/pricing.txt.

Special-purpose audits (e.g., judicial audits, departure audits, economic responsibility audits) are priced on a case-by-case basis according to project scale and workload, subject to confirmation with our firm. Please specify the purpose of the audit, the amounts involved and the status of supporting documentation; we will then provide a written quotation.

HNTE certification typically requires five reports: three years’ statutory audit reports (3 reports), one R&D expense special audit report (1 report), and one special audit report on income from high-tech products (1 report). Combined pricing is tiered by enterprise size: approximately CNY 17,300 for small technology enterprises, CNY 30,400 for medium-sized manufacturing enterprises, and CNY 47,800 for large-scale technology enterprises. Online estimation tool: ai/quote/gaoxin.php.

The exact additional deduction ratio for R&D expenses is governed by the currently effective tax policy (which may vary by industry and year, and some industries may not qualify). We recommend confirming the latest interpretation with our firm or the competent tax authority; our firm does not make generalised commitments. Fees for the additional deduction special audit are tiered by the prior year’s operating revenue: CNY 1,500 for revenue under CNY 5 million; CNY 2,200 for revenue between CNY 5 million and CNY 20 million; CNY 3,000 for revenue between CNY 20 million and CNY 60 million; and CNY 4,500 for revenue above CNY 60 million.

Expedited service is negotiable; whether it can be accommodated—and the associated fee—depends on project scale and staff availability. Expedited processing does not compromise professional due diligence standards; for time-sensitive filing deadlines, we recommend initiating the engagement at least 30 days in advance.

Our firm adopts written quotations, with prices locked upon signing the engagement letter and no hidden fees.

The prices listed in pricing.txt are in RMB and exclusive of VAT. We can issue VAT invoices.

A prepayment is required upon signing the engagement letter, and the balance must be settled before issuing the report. VAT invoices can be issued.

HNTE certification is reviewed by the competent authorities. If the application is unsuccessful, supplementary materials may be submitted in response to the review comments, and a new application may be filed in the next batch or the following year (subject to official notification from the local science and technology authority). Common reasons for rejection include improper allocation of R&D expenses, insufficient proportion of technical personnel, and issues relating to intellectual property. Our firm provides specialised audit services for HNTE certification and preliminary assessment of technical indicators; we recommend conducting a feasibility consultation prior to formal submission.

A capital verification report is required when: registered capital has been fully paid up; changes occur to registered capital (increase or decrease); shareholders contribute non-monetary assets; corporate restructuring, merger or division involves changes to registered capital; or where stipulated by laws, regulations or competent authorities.

Under the subscribed capital system, shareholders are obligated to pay their subscribed capital contributions within the agreed timeframe; paid-in capital refers to the portion of subscribed capital that shareholders have actually contributed. Whether capital verification is required depends on whether actual capital contribution or a change in registered capital has occurred, and on the requirements of competent authorities or counterparties (e.g., tenders, foreign investment, specific industry licences, or equity transfers). Our firm can issue a capital verification report.

A capital verification report attests to the status of registered capital as at the verification date. It does not have a fixed ‘validity period’; its acceptability is determined by the user (e.g., banks, market regulation authorities, tendering entities) based on their own requirements. If the capital contribution status changes or if too much time has elapsed since the verification date, the user may require a new report. Specific requirements depend on the user.

Capital increase verification typically involves: ① a shareholders’ resolution and amendment to the Articles of Association; ② shareholders transferring the additional capital into the company’s account (or into a dedicated verification/temporary account, as required); ③ our firm reviewing supporting documents—including bank deposit slips and bank statements—and issuing a capital verification report. Account-opening requirements are subject to the rules of the bank and relevant authorities; we recommend confirming these with our firm in advance.

Key documents include: the Articles of Association and shareholders’ resolution; evidence of contribution (bank deposit slip/payment receipt); for non-cash contributions, an asset valuation report and proof of title transfer; recent financial statements; and the business licence. A complete checklist is available at Capital Verification Document Checklist.

A liquidation audit is generally required in cases of company dissolution, deregistration, or bankruptcy liquidation, to verify the disposal of assets and liabilities and the distribution of residual assets during the liquidation period. A bankruptcy audit supports court-administered bankruptcy proceedings (liquidation, reorganisation, or conciliation); a liquidation audit supports voluntary dissolution or deregistration. Both types may serve as judicial evidence.

Bankruptcy audit supports court-administered bankruptcy proceedings (including bankruptcy liquidation, reorganisation, and conciliation), focusing on verifying the causes of bankruptcy, the authenticity of assets and liabilities, and voidable acts or preferential repayments. Liquidation audit supports voluntary dissolution or deregistration of an enterprise, focusing on verifying the disposal of assets and liabilities during liquidation and the distribution of remaining assets. Both types of audit may serve as judicial evidence.

Common findings include: shareholder or legal representative advances hidden in other receivables; capital withdrawal; sham transactions and related-party fund occupation; preferential repayments and gratuitous transfers prior to bankruptcy; off-book liabilities and unrecorded guarantees.

External audit (conducted by our firm as an independent third party) expresses an opinion on the financial statements in accordance with auditing standards, serving external stakeholders such as shareholders, banks, and regulators. Internal audit is conducted either by the enterprise’s internal audit department or outsourced to our firm, serving management with a focus on internal controls, risk management, and operational efficiency. These two types differ in purpose and cannot substitute for each other; whether internal audit is needed depends on the enterprise’s size, internal control requirements, and management needs.

Due diligence (DD) generally focuses on the target enterprise and covers financial, tax, legal, and business aspects, with depth determined by the transaction type (e.g., equity acquisition, investment, or cooperation). Our firm can undertake financial and tax due diligence and issue a formal report, with a typical turnaround time of 15–30 working days. Please specify the subject of the investigation and the transaction background, and our firm will confirm the scope.

Asset valuation reports are typically issued by appraisal institutions holding valid asset appraisal qualifications. Accounting firms may provide value verification or financial analysis support in specific engagements such as capital verification, corporate restructuring, or liquidation. End-users (e.g., banks, market regulation authorities, state-owned asset regulators, or judicial bodies) often have specific requirements regarding report type and issuing entity; we recommend confirming these requirements in advance. Asset valuation falls within our firm’s service scope; please contact us to confirm the specific engagement arrangement.

Audit reports issued by our firm carry a unique anti-counterfeiting number, enabling verification by report users, banks, tendering entities and regulatory authorities. To verify authenticity, please contact our firm (020-38669364) or follow the verification method indicated on the report; we recommend that users perform such verification upon receipt of the report.

Audit reports do not have a uniform statutory 'validity period'; their timeliness is determined by the user based on its specific requirements (e.g., tenders typically require reports issued within a specified timeframe; banks may require recently issued reports). An audit covers a specific accounting period, and the report reflects the financial position as of that period and the reporting date. We recommend confirming the user’s requirements regarding the report’s issuance date prior to use.

Audit reports issued by our firm carry a unique anti-counterfeiting number, enabling verification by report users, banks, tendering entities and regulatory authorities. Whether the report is filed with the unified regulatory platform for accounting firms depends on the intended use of the report and applicable professional standards (e.g., judicial proceedings, banking or state-owned asset-related matters often impose specific requirements on report format and issuance procedures). Please inform us of the report’s intended use at the outset, so that we may confirm the appropriate issuance method and ensure the report is duly accepted in your specific context.

Our reports are suitable for annual industrial and commercial reporting/public disclosure, tendering, bank loan financing, external disclosure, judicial evidence submission, high-tech enterprise certification, government subsidy applications, equity transfers and M&A restructuring. All reports carry a verifiable anti-counterfeiting number.

Reports are issued in Chinese by default. For foreign-invested enterprises (including WFOE), bilingual (Chinese–English) or English-only reports are available upon request. Our website and AI assistant support services in nine languages (Chinese, English, Japanese, German, French, Spanish, Arabic, Russian and Italian).

Yes. Our firm serves foreign-invested enterprises (including WFOEs) and can issue bilingual (Chinese–English) or English-only reports. Annual financial statement audits for foreign-invested enterprises are typically required to be completed in the first half of the year, subject to requirements set by relevant regulatory authorities and foreign exchange control regulations. We recommend confirming the timeline with us well in advance.

Electronic copies (e.g., scanned ledgers, financial statements, accounting vouchers) may be submitted online; in most cases, electronic versions alone are sufficient to commence work. Paper documents requiring official seals (e.g., contracts, resolutions) may be delivered in person or mailed. The exact list of required documents will be confirmed by our team upon engagement.

The completeness of accounting ledgers affects both the timeline and fee. Incomplete documentation or inconsistencies across records are the most common causes of delays. We recommend submitting your existing materials first, so that we may assess the scope we can accept and identify any additional documents required. Electronic accounting systems (e.g., Yonyou, Kingdee) allow direct export of data, facilitating efficient extraction and processing.

Yes. Checklists for all service types are publicly available:
· Annual Financial Statement Audit: annual-audit.txt (key documents include: Business Licence and Articles of Association; full-year accounting vouchers and ledgers; bank statements and bank reconciliation statements; detailed listings and confirmation letters for receivables/payables; inventory and fixed asset stocktaking reports; tax return forms; and the prior year’s audit report)
· HNTE Certification Audit: hnte-audit.txt
· Capital Verification Report: capital-verification.txt
· Bankruptcy and Liquidation Audit: bankruptcy-audit.txt
· Annual CIT Settlement: cit-settlement.txt

Yes. Our firm requires written quotation and formal contract execution prior to commencement. Pricing is locked upon signing. The contract clearly defines the scope of work, responsibilities of both parties, and deliverables.

Yes. For initial cooperation, we typically confirm the scope of services and fee quotation first, followed by signing an engagement letter. You may contact us by phone at 020-38669364.

Yes, we can issue a VAT invoice.

The change in taxpayer status itself does not affect the conduct of the audit, but it does impact the consistency between accounting treatment and tax filing. During the audit, you must provide the full-year tax returns and related supporting documents; our firm will verify the accounting continuity before and after the status conversion.

The capital verification report is issued based on the name registered on the business licence. Any discrepancy between this name and that on other licences (e.g., education licence) must be assessed in light of the actual capital contribution and relevant regulatory requirements. We recommend providing details of your specific situation for confirmation by our firm.

If discrepancies between ledger records and financial statements are identified during the audit, the underlying causes must first be verified, followed by accounting adjustments in accordance with applicable accounting standards. Discrepancies between book records and physical assets, or long-standing unreconciled account balances, must be resolved prior to adjustment—this is one of the key factors affecting delivery timelines.

Long-standing unsettled balances and discrepancies between book records and physical assets may lead to the following consequences: financial statements fail to reflect the true status of assets; data in the annual industrial and commercial report and tax returns become inaccurate; bank credit facilities and eligibility for tendering processes are adversely affected; and valuation obstacles arise during mergers & acquisitions or financing activities. We recommend promptly reviewing and adjusting such items. Our firm can assist in identifying and addressing these issues during the audit process.

Our firm bears a confidentiality obligation regarding client information obtained in the course of professional practice and will not disclose such information to third parties without authorisation. Where issues are identified during an audit, we will first discuss them with the client and request appropriate adjustments; financial statement audits are not conducted for the purpose of tax inspection. Whether reporting to tax authorities is required depends on specific legal and regulatory provisions (e.g., statutory reporting obligations), and our firm will handle such matters strictly in accordance with applicable laws and regulations, advising the client in advance.

Tax treatment for such cases depends on the specific nature of the transaction and generally requires case-by-case analysis: ① Whether it constitutes a transfer or licensing of an intangible asset (patent) — if ownership is transferred or usage rights are granted, it qualifies as a taxable event; ② Whether it constitutes capital contribution/increase using a patent — treated as both transfer of property and investment, with tax basis determined according to relevant regulations; ③ Whether it is merely a book-entry arrangement with no change in ownership and no consideration exchanged — generally no tax liability arises, though ownership and substance must still be carefully reviewed. The final conclusion must be based on the method of contribution, consideration arrangements and ownership registration details. We recommend providing full particulars for confirmation by our tax and finance consultants.

Our firm primarily serves various types of enterprises (including limited liability companies, joint-stock companies and foreign-invested enterprises). For other entities such as private non-enterprise units and individual businesses, engagement is possible on a case-by-case basis, depending on the specific service type (e.g., capital verification, special-purpose audit, liquidation audit, etc.). Please first specify the entity type and service requirements, and our firm will confirm feasibility.

No additional travel expenses are charged for assignments within Guangdong Province (Guangzhou, Foshan, Shenzhen, Dongguan, Zhuhai, Zhongshan, Huizhou). Special engagements outside the province may be accepted on a case-by-case basis, subject to prior confirmation with our firm.

Yes. We are bound by a duty of confidentiality regarding client information and will not disclose it to third parties without authorisation. For further details, please refer to our Data and Information Handling Statement.

· Address: Room 1201, No. 263 Huasui Road, Tianhe District, Guangzhou (Exit A2 of Zhujiang New Town Metro Station)
· Landline: 020-38669364　Mobile: 18928732669
· WhatsApp: +86 13430244051
· Email: limianron@163.com
· Online enquiry form: contact.html
· Online fee estimation: ai/quote/gaoxin.php