Legislation roundup: Tax due diligence, Cryptography Law, and labor disputes
May 25, 2017 | BY
Katherine Jo &clp articles &Financial institutions have been required to carry out due diligence investigations on accounts, the draft PRC Cryptography Law has set encryption security standards for CII, and the Beijing court has upheld workers' rights
Tax
State Administration of Taxation, Ministry of Finance, People's Bank of China, China Banking Regulatory Commission, China Securities Regulatory Commission and China Insurance Regulatory Commission, Measures for the Administration of Due Diligence Investigations of Tax-related Information Relating to Non-tax-resident Financial Accounts
Commencing from July 1 2017, financial institutions in China will conduct due diligence investigations of deposit accounts, custody accounts, the equity interests and debt interests of investment institutions as well as insurance contracts and annuity contracts with a cash value.
The requirements in respect of due diligence investigations of newly opened accounts are relatively strict, requiring the account holder to provide such holder's tax-resident status declaration document.
Further reading
TMT
PRC Cryptography Law (Draft for Comments)
The state evaluates the security of the application of cryptography for critical information infrastructure by category and grade and, in accordance with state requirements for security reviews, conducts security reviews of cryptographic products, cryptography-related services and cryptographic security systems that affect or could affect national security.
See the digest for more details.
Further reading
Employment
Beijing Municipal Higher People's Court and Beijing Municipal Labor and Public Personnel Dispute Arbitration Commission, Answers to Questions on the Application of the Law in the Hearing of Labor Dispute Cases
The Answers expressly state that the work positions of workers may not be changed arbitrarily, a change of job effected by an employer is to be reasonable, and the job following the adjustment should be one that the worker is competent to handle, and there may not be adverse changes in working conditions such as the worker's wages and benefits.
See the digest for more details.
Further reading
Tax
State Administration of Taxation, Ministry of Finance, People's Bank of China, China Banking Regulatory Commission, China Securities Regulatory Commission and China Insurance Regulatory Commission, Measures for the Administration of Due Diligence Investigations of Tax-related Information Relating to Non-tax-resident Financial Accounts
Commencing from July 1 2017, financial institutions in China will conduct due diligence investigations of deposit accounts, custody accounts, the equity interests and debt interests of investment institutions as well as insurance contracts and annuity contracts with a cash value.
The requirements in respect of due diligence investigations of newly opened accounts are relatively strict, requiring the account holder to provide such holder's tax-resident status declaration document.
Further reading
TMT
PRC Cryptography Law (Draft for Comments)
The state evaluates the security of the application of cryptography for critical information infrastructure by category and grade and, in accordance with state requirements for security reviews, conducts security reviews of cryptographic products, cryptography-related services and cryptographic security systems that affect or could affect national security.
See the digest for more details.
Further reading
Employment
Beijing Municipal Higher People's Court and Beijing Municipal Labor and Public Personnel Dispute Arbitration Commission, Answers to Questions on the Application of the Law in the Hearing of Labor Dispute Cases
The Answers expressly state that the work positions of workers may not be changed arbitrarily, a change of job effected by an employer is to be reasonable, and the job following the adjustment should be one that the worker is competent to handle, and there may not be adverse changes in working conditions such as the worker's wages and benefits.
See the digest for more details.
Further reading
This premium content is reserved for
China Law & Practice Subscribers.
A Premium Subscription Provides:
- A database of over 3,000 essential documents including key PRC legislation translated into English
- A choice of newsletters to alert you to changes affecting your business including sector specific updates
- Premium access to the mobile optimized site for timely analysis that guides you through China's ever-changing business environment
Already a subscriber? Log In Now