Overview
Under new measures introduced in China the requirements for running a representative office in the country are changing. The new regulations are intended to clarify and strengthen the current regulatory framework governing representative offices.
Some of the key changes include:
• Commencing March 2011, representative offices must undergo an annual inspection which includes submission of an audit report and a business activity report to the registration authority, the Administration for Industry and Commerce;
• The new increased penalties for non-compliance and greater powers of investigation; and
• Establishment of, or certain changes relating to a representative office shall be subject to a public announcement in designated media.
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