With effect from 1 October 2015, companies in the PR China no longer need to apply for several separate certificates from different administration authorities. 

Following the registration reform in the PR China with the aim to streamline the issuance  of business certificates, the business license, tax registration certificate and organization code certificate of legal entities and other corporate forms in the PR China, including foreign-invested companies and their branch offices or representative offices of overseas companies (“Chinese Companies”), shall be combined into one integrated business license (“New Business License”) issued by the local Administration for Industry and Commerce (“AIC”). Considering regional disparities, the Zhejiang Province (bordered by the Jiangsu province and Shanghai municipality to the north) has even upgraded the “Three into One” reform to a “Five into One” reform, which additionally includes the social security registration certificate and statistics registration certificate in the New Business License. The statistic registration certificate has been abolished in Shanghai and Guangzhou. Generally speaking, only one unified social credit code will be issued in one Business License in the PR China.

Since 1 October 2015, Chinese Companies shall apply for the New Business License and return the relevant certificates (tax registration, organization code, social security registration, or statistics registration) to the competent authorities.

However, there is a transitional rule available for Chinese Companies established before 1 October 2015, which may still hold and use the previous certificates during the transition period, e.g. from 1 October 2015 until 31 December 2017 in Shanghai, or 29 September  2015 until 31 December 2020 in Beijing. It must be pointed out that if Chinese Companies established before 1 October 2015 apply for any change to their registration with the local AIC, e.g. any amendment of the articles of association, the local AIC will recollect and replace the previous certificates and issue a New Business License.

The practice may vary from location to location in China. Our experts in Shanghai will be glad to provide advice on your individual case.

Dr Oliver Maaz, Shanghai and Min Xue, Munich and Shanghai