Page 21 - Doing Business in China

FOREIGN EXCHANGE CONTROLS

REMITTANCE OF FUNDS OUT OF CHINA

SAFE regulates remittance of funds out of China under the trading and capital categories�

Options for the remittance of funds from China:

No. Type of Remittance Category Documents Required Legal Compliance

1 • Service agreement
• Invoice
Service fee to SAFE Hui Fa [2020] No�14
overseas service Service trading • Tax Payment Certificate
provider • Other documents
supporting this service
transaction

2 • Goods trading agreement
• Invoice SAFE Hui Fa
[2012] No� 38� SAFE Hui Fa
Goods trading Goods trading • Customs documents [2016] No� 7 should serve as a
• Other documents backup in case of discrepancies
supporting this goods between two regulations�
transaction

3 SAFE Hui Fa
[2013] No� 80, (certain articles
• Shareholder Resolution were corrected by SAFE Hui
Fa [2015] No� 20)� SAFE Hui Fa
Dividends and profits Capital • Proof of tax payment [2016] No� 7 should serve as a
subject to China’s tax backup in case of discrepancies
regulations between SAFE Hui Fa [2015]
No� 20) and SAFE Hui Fa [2016]
No� 7�

4 SAFE Hui Fa
[2013] No� 19
• Foreign loan agreement (certain articles were corrected
by SAFE Hui Fa [2015] No� 20)�
Foreign loans Capital • Other supporting SAFE Hui Fa [2016] No� 7 should
documents required by serve as a backup in case of any
SAFE discrepancies between SAFE
Hui Fa [2015] No� 20) and SAFE
Hui Fa [2016] No� 7�

20
20 | SBA Stone Forest