China - New efforts to combat aggressive tax planning, evasion 

September 30: China signed the OECD Multilateral Convention on Mutual Administrative Assistance in Tax Matters in late August 2013. Thus, through tax information exchange and joint tax examinations with other member countries, China is raising its efforts to combat aggressive tax planning and evasion to a new level.

The OECD convention allows China to automatically or spontaneously exchange information with other signatories and conduct simultaneous tax examinations on a multinational company both within and outside China.

This “easy access” to a multinational company’s tax-related information from another foreign jurisdiction presents a new deterrent for any tax arrangement whose feasibility depends on its lack of full visibility to Chinese tax authorities.

Read a 2013 report [PDF 286 KB] prepared by the KPMG member firm in China: China joined global efforts to combat tax avoidance and evasion

©2013 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss entity. All rights reserved.

The KPMG logo and name are trademarks of KPMG International.

KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever.

The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

Direct comments, including requests for subscriptions, to
For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at:

+ 1 202 533 4366

1801 K Street NW
Washington, DC 20006.

Share this

Share this


Current and future KPMG clients may subscribe to TaxNewsFlash email alerts.

Email your contact information.

TaxNewsFlash-United States by year