- Recognised by Business Connect · 1080+ Clients · 47+ Countries
Start a Business in China — WFOE, 25% CIT, HNTE 15%, R&D 200%, World's 2nd Economy
Chinese company formation involves establishing a WFOE (Wholly Foreign-Owned Enterprise) through SAMR (State Administration for Market Regulation) under the Foreign Investment Law 2020. China is the world’s 2nd largest economy (USD 18T GDP, 1.4 billion consumers) and the global manufacturing superpower. Standard CIT is 25%, but High & New Technology Enterprises (HNTE) pay just 15%, small & thin-profit enterprises pay 5%, and Hainan Free Trade Port offers 15% CIT with 0% capital gains tax. R&D costs qualify for a 200% super-deduction. The 2024 Negative List has shrunk to just 29 restricted categories — most sectors are 100% open to foreign ownership. Company seals (chops) are legally binding — 5 types with custody governance implications. The Fapiao invoice system is unique globally. 21 Free Trade Zones provide varied incentives. SBI operates in Shanghai. India-China DTAA provides uniform 10% rates. Despite bilateral complexity, China remains the world’s largest manufacturing market. Comply Globally has helped 1,080+ entrepreneurs across 47+ countries.
- By Dr. Anil Kumar Gupta, Chairman, Connect Ventures Group
- Updated April 2026
- 16 min read
500+
Companies launched
47+
Countries served
4.7
Trustpilot rating
+12 today
Founders onboarded
Incorporated in 7 days
Average turnaround time
25%
CIT (HNTE 15%)
200%
R&D Deduction!
$18T
GDP (#2 Global)
1.4B
Consumers
21
Free Trade Zones
Our Services in China
What We Help You With in China
Leverage our expertise for company formation, EXIM, IOR/EOR, visas,
banking, and ongoing compliance in China all through a single point of contact.
Most Popular
Company Formation
Register your China company through the State Administration for Market Regulation (SAMR) and related authorities. We assist with WFOE (Wholly Foreign-Owned Enterprise), Joint Venture (JV), and Representative Office setup across major business hubs like Shanghai, Shenzhen, Guangzhou, and Beijing.Our team handles company name approval, Articles of Association drafting, registered address support, business licence registration, tax registration, bank account opening, and post-incorporation compliance — remotely from India.Minimum registered capital depends on industry and city requirements. 100% foreign ownership is permitted in many sectors through WFOE structures.Setup usually takes 4–8 weeks, depending on licence category and jurisdiction.Starting from ₹1,95,000* (government fees extra).
Tax & Compliance Advisory
Navigate China’s Corporate Income Tax (CIT), Value Added Tax (VAT), transfer pricing, annual audit requirements, and ongoing bookkeeping obligations with confidence.China’s standard Corporate Income Tax rate is 25%, while High and New Technology Enterprises (HNTEs) may qualify for a reduced 15% rate. VAT generally ranges from 6% to 13% depending on industry classification.We help optimise your cross-border structure using the India–China Double Taxation Avoidance Agreement (DTAA), including withholding tax planning on dividends, royalties, and technical service fees.Our experts also assist with SAFE compliance, invoice management (Fapiao), payroll taxation, and local accounting standards.Source: State Taxation Administration (STA) China.
Most Popular
FEMA & RBI Compliance
We manage BOTH sides simultaneously — China incorporation and Indian FEMA compliance.Our team assists Indian founders with ODI filings through their AD bank, Annual Performance Reports (APR), RBI Foreign Liabilities and Assets (FLA) returns, and foreign remittance documentation.We also support Foreign Tax Credit (FTC) claims under Section 90 and ensure proper reporting of overseas investments under RBI regulations.This is what we mean by Single Point of Management for Indian businesses expanding into China.
Visas & Immigration
We assist with China business visas, work permits, residence permits, and investor-related immigration processes.Our services cover Z Visas (employment), M Visas (business visits), work permit applications, residence registration, renewals, and employer compliance documentation.China work permits are generally classified into Categories A, B, and C based on qualifications, salary, and experience.We coordinate directly with local authorities and licensed partners to streamline approvals and minimise delays.
EXIM & Logistics
China remains the world’s largest manufacturing and export economy, making it an ideal sourcing and supply-chain hub for Indian companies.We assist with import/export licensing, customs registration, supplier coordination, sourcing support, warehousing, freight forwarding, and IOR/EOR solutions.Our team supports businesses importing from China into India and companies using China as a regional manufacturing or procurement base.
Cross-Border Banking
We support corporate bank account opening with major Chinese and international banks operating in China, including ICBC, Bank of China, China Construction Bank, HSBC, and Standard Chartered.Our team prepares your business documentation, company profile, financial projections, and KYC paperwork required by Chinese banks.Depending on the bank and city, account opening may require video verification or at least one in-person visit by the legal representative.
- 1080+ Clients Served
- 47+ Countries
- 4.7★ Trustpilot
- Avg 4hr Response
- 100% Compliance Record
Why Partner With Comply Globally?
Our 4 Brand Promises — Backed by Results
These are not marketing slogans. They are measurable operational standards tracked
and validated across 1,080+ global client engagements.
Speed of Action
We reply within 4 hours. Our China market-entry team coordinates incorporation, compliance, banking and documentation across both countries.
Fast-track structures available for selected business activities and free-trade zones.
Accuracy & Competence
Zero compliance failures across 1,080+ engagements.Every filing, application, and compliance submission is reviewed by dedicated India and China specialists before processing.
Filing dates tracked for you · 4.7★ on Trustpilot
Ease of Doing Business
One point of contact for everything — China company formation and Indian FEMA compliance managed together without vendor fragmentation.
Single Point of Management · 47+ countries
Cost Competitiveness
Published price: China WFOE formation from ₹1,95,000*.Government fees are charged at cost and quoted in writing before you pay.
China company setup solutions tailored for startups, SMEs, traders, and manufacturers.
“Initially, I assumed their promises were standard marketing language but after working with them, I was genuinely impressed by their speed, professionalism, and understanding of both Indian and Chinese compliance requirements.”
India China Import Business
TAX FRAMEWORk
What Is the Corporate Tax Rate in China?
China’s standard Corporate Income Tax rate is 25%
According to China’s State Taxation Administration (STA), resident enterprises are generally taxed at a flat 25% Corporate Income Tax (CIT) rate on worldwide income. Qualified High and New Technology Enterprises (HNTEs) may enjoy a reduced 15% CIT rate, while certain small and low-profit enterprises can access preferential tax treatment subject to eligibility thresholds. China levies Value Added Tax (VAT) ranging from 6% to 13% depending on the nature of goods and services. Under the India–China DTAA, withholding tax rates on dividends, royalties, and interest can be reduced subject to treaty eligibility and beneficial ownership conditions. China also maintains strict transfer pricing, substance, and foreign exchange reporting requirements under SAFE and STA regulations.
Singapore vs UAE vs Hong Kong vs India — Tax Comparison
| Factor | 🇸🇬Singapore | 🇦🇪UAE | 🇭🇰Hong Kong | 🇮🇳India |
|---|---|---|---|---|
CIT Rate | 17% (eff. 4.25% startups) | 9% | 8.25 / 16.5% | 25.17% |
Capital Gains Tax | 0% | 0% | 0% | 10–20% |
Dividend WHT | 0% (one-tier system) | 0% | 0% | 10% (DDT abolished) |
VAT / GST | 9% | 5% | 0% | 18% (avg GST) |
DTAA with India | Yes — 10–15% | Yes — 10% | Yes — 5% | N/A |
Ease of Doing Business | #1 Global | Top 20 | Top 5 | #63 |
Startup Exemption | 0–4.25% for 3 years | Free zone options | 50% relief yr 1–2 | Startup India (limited) |
Free Resource
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with every key date — delivered via WhatsApp and email within 24 hours.
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Starting a Business in China
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