Managing the tax affairs of frequent travellers into China

The economic development in China has changed dramatically and China has been a bright economic spot in recent years. Attracting and maintaining talents is a crucial factor for companies to establish a competitive advantage in this fast growing market. In particular, the recent expansions of many companies into China also raise new challenges for HR leaders, as more and more Hong Kong-based employees are travelling frequently across the border due to their regional responsibilities ("frequent travellers").

What can PwC Workforce Tax help you

Our practice has the specialists to help you plan, implement, manage and support the entire process in order to enhance the return on investment made in the employees, so that both the organization and the employees have the confidence to know that affairs related to their business travels are being handled effectively.

Tax program services are the most fundamental to our service offerings and the core of our business. We offer total tax program administration for these frequent travellers and their employers as follows:

• Analyzing filing positions and making recommendations;
• Designing and reviewing of policy;
• Tracking China tax paid for enhanced cost savings (e.g. potential tax credit in other jurisdictions);
• Coordinating all tax-related paperwork for different jurisdictions;
• Updating management on compliance progress and completion by tracking the status of the tax return process;
• Assessing any existing exposure to compliance risk and providing recommendations;
• Projecting tax costs;
• Providing tax consulting services (e.g. China, Hong Kong, United States, etc.);
• Preparing tax reconciliation calculations;
• Preparing necessary home and host country filings;
• Handling tax authorities' inquiries.

The benefits of implementation may include an improved level of service satisfaction for your employees, streamlined program management and closer alignment with your organization's overall goals.