Starter
Up to 50 transactions a month
$210/month approx. · RMB1,500
- Bookkeeping and monthly accounts
- Chinese tax filings for your agreed scope
- English-language support
CHINA ACCOUNTING & TAX FOR US OWNERS
China books you understand.
Records your CPA can use.
Running a Chinese company from the US means two sets of rules. We keep your China bookkeeping and tax filings on track, explain everything in English, and organize your records so your US accountant has what they need at tax time.
Find your monthly plan ↗From about $210/month (RMB1,500) · English-speaking team · Scope agreed before you start
01 / MONTHLY ACCOUNTING PLANS
Simple plans. Clear monthly cost.
Plans are based on how many transactions your company has each month. Every plan includes bookkeeping and Chinese tax filing, with interpreter support in English, Chinese, German, Russian, Thai, Indonesian or Burmese.
Growing business
51–200 transactions a month
$350/month approx. · RMB2,500
- Bookkeeping and monthly accounts
- Chinese tax filings for your agreed scope
- English-language support
Established business
201–500 transactions a month
$490/month approx. · RMB3,500
- Bookkeeping and monthly accounts
- Chinese tax filings for your agreed scope
- English-language support
More than 500 transactions a month? Ask for a custom quote. USD amounts are approximate at RMB7.1 = US$1; we invoice in RMB. Before you sign up, we confirm how transactions are counted, your tax registrations, filing obligations and whether service tax is included. Your company's own taxes are separate from our fee.
Know exactly what's covered
We review your business activity and records, agree the scope of work and identify the filings your company needs. We tell you what documents are missing and what's coming up, so routine compliance doesn't become a fire drill.
Extra work is quoted up front
Cleaning up past records, statutory audits, payroll, transfer pricing, specialist tax advice and bank remittances may need a separate scope and quote. Year-end responsibilities are confirmed in your engagement, and you approve any extra work before it starts.
How a typical month works
- Send us your records. Bank statements, sales and purchase invoices, expense receipts and relevant contracts.
- We follow up on questions. We review the records with you and chase missing information before deadlines.
- Review and file. You confirm the figures and pay any tax due. We keep filing receipts and supporting documents together.
02 / THE US SIDE
A China company, and your US tax return.
As a US citizen, green card holder or US company, you're taxed on worldwide income, so owning a Chinese company usually adds some US reporting. We don't prepare US returns, but we make the China side easy for the CPA who does.
| US item | What US owners should know |
|---|---|
| IRS Form 5471 | US persons who own or control a foreign corporation often have to file Form 5471 with their return. Penalties for missing it can be steep, so raise it with your CPA in year one. IRS: Form 5471 ↗ |
| FBAR & Form 8938 | If you have a financial interest in, or signature authority over, foreign accounts worth more than $10,000 in total at any point in the year, an FBAR (FinCEN Form 114) is generally required. Form 8938 may also apply. IRS: FBAR ↗ |
| US–China tax treaty | The treaty generally caps Chinese withholding on dividends, interest and royalties paid to US residents at 10%, if you meet the conditions and file the right paperwork. IRS: tax treaties ↗ |
| Foreign tax credits | Chinese tax paid may be creditable against US tax, subject to US limits. Good Chinese tax receipts and filing records make this much easier to claim. |
| Controlled foreign corporation rules | A China company owned by US persons is often a controlled foreign corporation, which can bring some of its income onto your US return before you take a dividend. How this affects you depends on your structure; ask your CPA. |
General information, not US tax advice. We can provide English-language financial statements, trial balances and tax payment records for your US accountant.
03 / CHINESE TAX BASICS
China tax, in plain English.
How your company is taxed depends on what it does, its taxpayer status, its location and whether it qualifies for relief. Being US-owned does not, by itself, change the rate. Use this overview as a starting point for a conversation about your company.
| Tax or requirement | What you should know |
|---|---|
| Corporate Income Tax (CIT) | The standard rate is 25% of taxable profit, not revenue. Book profit may need tax adjustments. STA: corporate income tax ↗ |
| Small, low-profit enterprise relief | Qualifying companies can pay an effective 5% CIT through December 31, 2027. Conditions include annual taxable income of no more than RMB3 million (about $423,000), no more than 300 employees, total assets no more than RMB50 million and an eligible industry. It isn't automatic for every small company. STA: eligibility and relief ↗ |
| Value-Added Tax (VAT) | China has VAT rather than US-style sales tax. Under the VAT Law in effect in 2026, the main rates are 13%, 9% and 6%, depending on the transaction. General taxpayers usually pay output VAT minus eligible input VAT; small-scale taxpayers follow simpler rules. MOF: VAT Law ↗ |
| Small-scale VAT relief | For 2026–2027, exemption thresholds are RMB100,000 a month or RMB300,000 a quarter, with conditions. Eligible sales otherwise taxed at the 3% rate may qualify for 1%; certain property and land transactions are excluded. Invoice type and the nature of your sales matter. MOF: 2026 VAT policy ↗ |
| Other obligations | Depending on your activity, payroll withholding, social insurance, stamp duty and local surcharges may also apply. These are separate from CIT and depend on your actual business. |
Monthly service doesn't mean every tax is monthly
Filings can be monthly, quarterly or annual. CIT prepayments are generally monthly or quarterly, with an annual reconciliation due within five months of year-end, normally May 31 for a calendar-year company. Public holidays can shift specific deadlines.
Official CIT filing guidance ↗No revenue yet? You still need to file.
A new or inactive company can still have bookkeeping, reporting and tax filing obligations. A "zero" filing must reflect the facts; it isn't a shortcut for skipping your records. Let us know promptly if your business activity changes.
Good records make everything easier
Keep company and personal money separate. Match payments to real contracts and invoices, including official fapiao where required. Keep bank statements, expense documents and employee records. In China, a bank receipt alone doesn't prove an expense is deductible or that input VAT can be claimed.
Before you hire, import, export, invoice a new type of sale or pay a US or other overseas supplier, check the accounting and tax consequences with us. It's far easier to get the paperwork right at the start than to rebuild it later.
04 / GETTING PROFITS BACK TO THE US
Bring your profits home, properly documented.
China's Foreign Investment Law allows foreign investors to transfer lawful profits and other investment returns out of China, in RMB or foreign currency. Every transfer still needs the right corporate, tax and bank paperwork. Foreign Investment Law, Article 21 ↗
Profit isn't the same as cash in the bank
A dividend has to come from distributable profit, after taxes, prior losses and required reserves. A big bank balance may include capital, loans or customer prepayments, and those aren't automatically available to pay out as profit.
- Confirm the available profit. Reconcile the accounts, tax position, past losses and reserve requirements, and prepare the financial statements and audit documents the bank needs.
- Approve the dividend. Prepare the shareholder or board resolution and confirm who receives it and their shareholding.
- Apply withholding and treaty benefits. Determine the shareholder's tax status, claim US–China treaty benefits where eligible and keep the supporting documents.
- Submit to the bank. Provide the resolution, financial and tax documents and the payment application. The bank reviews the transfer to your US account and may ask for more information.
Requirements vary by transaction and bank. SAFE: profit remittance requirements ↗
Who receives the dividend matters
A US company shareholder generally faces 10% Chinese withholding on dividends, consistent with both China's domestic rate and the US–China treaty. Individual shareholders are different: from September 1, 2026, dividends from foreign-invested enterprises to foreign individuals are subject to 20% individual income tax under China's updated policy, which treaty relief may reduce to 10% for eligible US residents. Don't assume the old exemption still applies.
STA: non-resident enterprise tax ↗ · MOF/STA: foreign individual dividends, 2026 ↗
A worked example
Say your company approves an RMB100,000 dividend (about $14,100), after company-level tax and reserves:
- At 10% withholding: RMB10,000 tax; RMB90,000 (about $12,700) sent to the US.
- At 20% withholding: RMB20,000 tax; RMB80,000 (about $11,300) sent to the US.
For illustration only, before bank fees, exchange-rate movements and any US tax. Treaty eligibility, shareholder status and other facts can change the result.
Capital and loans follow different rules
Returning registered capital, repaying a shareholder loan and paying a genuine service fee or royalty to your US company are different transactions, each with its own paperwork and tax treatment. They shouldn't be relabeled as dividends or used to get around the proper process. We can review your records and clarify what's needed before you approach the bank; specialist remittance work is quoted separately.
CLIENT STORIES
In our clients' own words.
We're gathering verified feedback from our accounting clients for this section.
Approved client testimonials will appear here. We don't publish sample quotes or unverified ratings.
LET'S GET YOUR BOOKS IN ORDER
Tell us about your company.
Share your monthly transaction volume, what the business does and where your accounting stands today. We'll recommend the right plan and scope.
Content reviewed October 29, 2026. General information, not a determination of your company's tax position or US tax advice. Policies and local practice can change. Read accounting FAQs ↗