On November 19th, 2010, the State Council promulgated Administration Regulations on the Registration of Permanent Representative Offices of Foreign Enterprises (hereinafter the “New Regulation”), which will come into effect on March 1st, 2011. The New Regulation is another important piece formulated by the State Council regarding the permanent representative offices of foreign enterprises (hereinafter “Representative Office”) after the Notice on Further Strengthening the Administration of Registration of Permanent Representative Offices of Foreign Enterprises jointly issued by State Administration for Industry and Commerce (SAIC) and Ministry of Public Security in January this year and the Provisional Measures for Taxation of Permanent Representative Offices of Foreign Enterprises issued by State Administration of Taxation in February this year. The former Measures on Registration of Permanent Representative Offices of Foreign Enterprises (hereinafter “Former Measure”) issued by the SAIC and approved by the State Council in 1983 will be annulled on the effective date of the New Regulation. The Former Measure is obviously inconsistent with the current social and economic practices and legal system, and the New Regulation has expressly and clearly provided for the establishment of the Representative Offices and every aspect of their business activities. Following please find more information:
