Annual Audit and Compliance in China: Prepare for 2021 – New Issue of China Briefing Magazine

December 3, 2020 Posted by China Briefing Reading Time: 2 minutes

The latest issue of China Briefing Magazine, titled “Annual Audit and Compliance in China: Prepare for 2021” is out now and available as a complimentary download on the Asia Briefing Publication Store.

In this issue:

Annual Audit in China: Why it’s Important and How to Get Started
Annual Compliance Requirements and Procedures: What’s New
The New China Accounting Standards: Get Ready for 2021

The start of a new year can be a hectic time for foreign companies in China. Businesses must renew their annual licenses and adapt to new laws and regulations that are coming into effect, all while managing the workflow interruptions of the holiday season and upcoming Chinese New Year celebrations.

During this period, companies must also begin to prepare for the annual audit – if they have not started to do so already. To meet the various compliance deadlines scattered throughout the year, they need to begin the long and complicated process of financial reporting, months in advance. If companies fail to comply, they risk being hit with deteriorating credit, additional fines and penalties, and might not be able to remit their profits overseas.

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Beyond facilitating compliance requirements, however, the annual audit presents an opportunity for the entity to conduct a deep dive into their finances and internal operations. A comprehensive audit might reveal unexpected irregularities or suboptimal business practices, or discover eligibility for tax incentives that had not previously been captured. In addition, foreign invested enterprises can get themselves ready for the upcoming new China Accounting Standards.

In this issue of China Briefing Magazine, we walk foreign businesses through the annual audit and compliance process from start to finish. We begin by exploring the significance of annual audit on FIEs and strategies on how to make the most out of the annual audit. Then, we offer a comprehensive step-by-step guide to completing the annual compliance process and highlight the changes in the past year. Finally, we provide a comprehensive introduction to the new China Accounting Standards that will affect most businesses, starting January 1, 2021. We hope this magazine helps your business add value to its annual statutory audit and compliance reporting in China.

With offices located across China and more than 25 years of experience helping foreign enterprises set up operations in the country, Dezan Shira & Associates is well positioned to assist your company in the Chinese market. For more information, please email us at china@dezshira.com.

About Us

China Briefing is written and produced by Dezan Shira & Associates. The practice assists foreign investors into China and has done so since 1992 through offices in Beijing, Tianjin, Dalian, Qingdao, Shanghai, Hangzhou, Ningbo, Suzhou, Guangzhou, Dongguan, Zhongshan, Shenzhen, and Hong Kong. Please contact the firm for assistance in China at china@dezshira.com.

We also maintain offices assisting foreign investors in Vietnam, Indonesia, Singapore, The Philippines, Malaysia, Thailand, United States, and Italy, in addition to our practices in India and Russia and our trade research facilities along the Belt & Road Initiative.