Since China committed to implementing the Standard for Automatic Exchange of Financial Account Information (AEOI) in September 2014, topics such as CRS financial account information exchange, global taxation, and the exposure of overseas asset information have been the focus of intense discussion among high-net-worth individuals. Despite this, many still feel that CRS is far removed from their own lives. However, a recent news report has caused a stir, leaving many high-net-worth individuals in China feeling anxious.
On January 16, the Guangdong Provincial Local Taxation Bureau published a news report titled "Cross-border Intelligence Exchange Shows Its Power: 108 Foreigners in Dongguan Pay 36.08 Million Yuan in Back Taxes." The report stated that the Dongguan Local Taxation Bureau recently collected 36.08 million yuan in individual income tax from 108 foreign individuals. This is the largest amount of tax ever recovered in Guangdong Province through special cross-border intelligence exchange.
Chen Yunzhang, Deputy Director of the Dongguan Local Taxation Bureau, stated that in recent years, with the continuous development of WorldWay and the increasingly frequent cross-border flow of capital, personnel, and other production factors, international tax avoidance has become increasingly prominent. Tax authorities must make full use of the intelligence exchange clauses in tax treaties and arrangements to conduct information exchange with foreign tax authorities, resolve the issue of information asymmetry between tax authorities and taxpayers, and reduce the space for taxpayers to engage in improper cross-border tax planning.
According to China's implementation schedule for CRS financial account tax information exchange, financial institutions completed due diligence on existing high-net-worth individual accounts (those with a total balance exceeding 1 million USD as of June 30, 2017) by December 31, 2017, and will complete the first information reporting by May 31, 2018. This means that in four months, for high-net-worth individuals who have not taken avoidance measures, overseas asset information will become increasingly transparent.
A Commonwealth Passport Helps You Easily Handle CRS
In the context of CRS, holding a Commonwealth passport—such as those from Saint Lucia, Dominica, Saint Kitts and Nevis, Antigua and Barbuda, or Vanuatu—is both cost-effective and highly functional. Starting from just 100,000 USD (Saint Lucia, Dominica, and Antigua from 100,000 USD; Vanuatu from 130,000 USD; Saint Kitts from 150,000 USD), your entire family can quickly apply for a Commonwealth passport. In particular, the Saint Lucia and Dominica passports, which have low investment costs and high cost-performance ratios, are especially popular.
These Commonwealth countries have excellent tax systems. They not only exempt capital gains tax, inheritance tax, and gift tax, but also do not impose global taxation, with "0" tax on the overseas income of their citizens, which can reasonably address the impact of CRS global taxation. Opening overseas accounts and holding overseas assets with a Commonwealth passport identity can effectively manage the impact of CRS, while also meeting various needs such as children's education, retirement migration, global asset allocation, and global travel convenience, making it a multi-purpose solution.
WorldWay Group
The Only Officially Authorized Chinese Immigration Agency for Saint Lucia/Dominica
Your First Choice for Obtaining a Commonwealth Passport
Choose WorldWay for your Commonwealth passport and make your immigration journey easier! Immigration is a long and complex process, and choosing a formal, professional immigration agency with good government relations is crucial. As a leader in the investment immigration industry and a pioneer in Commonwealth passport programs, WorldWay Group has always maintained good trust, interaction, and cooperative relationships with the governments of Commonwealth countries. We are the only officially authorized Chinese immigration agency for Saint Lucia and Dominica, making us your best choice for Commonwealth passport programs.
WorldWay's Good Relationship with the Government of Saint Lucia:
The only officially authorized Chinese immigration agency for Saint Lucia;
The only immigration agency invited by the Prime Minister of Saint Lucia to visit the country and received by the Prime Minister and government officials;
The only immigration agency to invite the Prime Minister of Saint Lucia and the Director of the Saint Lucia Immigration Department to attend a Prime Minister-Investor Tea Party.
WorldWay's Good Relationship with the Government of Dominica:
The only officially authorized Chinese immigration agency for Dominica;
The immigration agency with the highest frequency of mutual visits with the Prime Minister of Dominica;
The only immigration agency to invite the Prime Minister of Dominica and the Director of the Dominica Immigration Department to attend a Prime Minister-Investor Tea Party.
For more details, please consult: 400-138-2929.
