Diterbitka · Iban

No Fees for Tax and Social Insurance Registration When Starting a Business in China

Foreign founders opening a company in China can register for tax and social insurance without paying separate fees, as these registrations are now included in the business license under the 'Five-in-One' reform. This article explains the official policy and what it means for your startup.

No Separate Fees for Tax and Social Insurance Registration

When foreign founders set up a new enterprise in China, a common question is whether they must pay fees to complete tax registration and social insurance registration. According to an official response from the State Taxation Administration (STA) website, the answer is clear: no fees are required.

The STA published a Q&A on July 17, 2026, confirming that China has abolished the fee for tax registration certificates. Moreover, both tax registration and social insurance registration have been integrated into the business license process, so separate registration is no longer necessary.

What the Official Policy Says

The STA response cites two key policy documents:

• Notice on the Cancellation of Certain Administrative Fees Charged to Enterprises (Cai Zong [2011] No. 9): This notice eliminated the cost of obtaining a tax registration certificate. Previously, enterprises may have paid a fee for the certificate itself; that fee no longer exists.
• Notice of the General Office of the State Council on Accelerating the Reform of the 'Five-in-One' Registration System (Guo Ban Fa [2016] No. 53): This reform introduced the “Five-in-One, One License, One Code” system. Under this system, tax registration and social insurance registration are included in the business license, meaning companies do not need to go through separate registration procedures for tax or social insurance.

In short, when you obtain your business license, your tax and social insurance registrations are automatically included. There is no separate application, and no separate fee.

What This Means for Foreign Founders

For foreign entrepreneurs planning to establish a company in China, this policy simplifies the startup process and reduces administrative costs. Here’s what you need to know:

• No extra fees: You will not be charged a fee for tax registration or social insurance registration when starting your business. The business license covers these registrations.
• No separate registration steps: You do not need to file separately with the tax authority or social insurance agency to register. The “Five-in-One” reform means these are handled through the business license application.
• Streamlined setup: The integration reduces paperwork and time, making it easier to get your company operational quickly.

It is important to note that while the registration itself is free and integrated, companies must still comply with ongoing tax filing and social insurance contribution obligations. The policy addresses only the registration process and fees, not subsequent compliance requirements.

Background on the “Five-in-One” Reform

The “Five-in-One” reform, officially termed “Five Certificates Integrated into One, One License, One Code,” was introduced to simplify business registration in China. Under this system, five key registrations—including business license, organization code, tax registration, social insurance registration, and statistical registration—are combined into a single business license with a unified social credit code. This means that when a company receives its business license, it is automatically registered for tax and social insurance purposes.

For foreign founders, this reform reduces the number of government agencies they need to interact with during the startup phase. It also eliminates the need to obtain separate certificates, each of which might have had its own fees or procedures in the past.

Practical Steps for New Businesses

If you are preparing to open a company in China, here is what you should keep in mind regarding tax and social insurance registration:

• Apply for your business license: The business license application will automatically include tax and social insurance registration under the “Five-in-One” system.
• No additional payment: You will not be asked to pay a fee for tax registration or social insurance registration. If you encounter requests for such fees, you may verify with local authorities.
• Understand ongoing obligations: After registration, ensure you understand your tax reporting and social insurance contribution duties. These are separate from the registration process and may require ongoing attention.
• Seek professional advice if needed: While the registration process is simplified, navigating China’s tax and social insurance systems as a foreign founder can be complex. Consider consulting with local professionals to ensure compliance.

Conclusion

Starting a business in China involves many steps, but tax and social insurance registration should not be a financial burden. According to the State Taxation Administration, these registrations are free and integrated into the business license. Foreign founders can focus on building their business rather than worrying about separate registration fees or procedures.

This summary is based on information published by the relevant Chinese government website and is general information, not legal or tax advice.

For assistance with registering and operating a company in China, foreign founders can contact ChinaMNC on WhatsApp / WeChat at +86 153 1898 8535.