Relocation is considered as a one of the most difficult cases during the change formalities of the WOFE. We are sharing our experience on the relocation cases.

• The negative attitude of the local authority when moving out

The government wants to retain those companies, especially which will raise large taxes. But according to Shanghai Dongjin’s experience, if the company shows the strong mind on relocation matter, finally the government will approve the moving out.

The officer may arrange a meeting with the senior management of the WOFE. Shanghai Dongjin advises that, the senior manager could show the strong mind for moving out via the following written proof: (1) the new leasing agreement has been entered, (2) the headquarter has made the decision on the relocation matter.

• Further difficulties

If the officer is still delay the approval for moving out on purpose, the investor can firstly set up a new company in the new premise and transfer the current business and staffs to the new company. When the transferring work is completed, the investor can then close the old company.

• Attention to the tax/custom matters

During the period of annual tax clearance, the tax bureau will stop acceptance of the application such as deregistration matter/ relocation matter. Further, the company should also take the good care of tax clearance, custom and Fapiao matters during the relocation period.

• The special matter to be taken care of when moving in

The company should firstly learn the attitude of the government moving in, especially if the company will cause the food/chemical problems, or the pollution at the new location.

Dongjin comments: the relocation is a complicate work even more than the closure of the company. An expert with wild experience will cause the good work connection between the different districts, even the different cities.

If you have any questions, please send the email to me.

Ms. Jojo Hu

TEL: 0086-21-68868335 ext 324 / FAX: 0086-21-68868021

Email: jojohu@shanghaiinvest.com