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Updates on the New NGO Regulation

Wednesday, 11 January 2017 15:44

We wrote an article regarding to “New Laws for the Management on the Overseas Non-Government Organization” in May 2016 and it mentioned that this new law would take effect since 1st January 2017. We collected more detailed information on the application as follows.

 

Q1: What is the requirement for the foreign NGOs?

A1: The foreign NGO should have been set up for over two years and had the actual operation. Further, the proposed business in China should be incompliance with its actual needs and be good for the development of charity activities in China.

 

Q2: What are the application documents to be prepared in the foreign country?

A2: (1) the incorporation certificate; (2) the articles of association; (3) the proof for its existence over two years and having the actual operation; (4) the identity certificate of the chief representative (if foreigner). The above document should be certified and legalized by the competent institution.

 

Q3: What is the name structure?

A3: “the name of foreign NGO” + “the city (in China)” + “representative office/liaison office”

 

Q4: What is the prerequisite before the NGO can be filed at the local public security?

A4: It should obtain the approval from its competent administration authority (you can refer to the list in Chinese via http://www.shanghaiinvest.com/images/MEDIA/untitled%20folder/20161221172727745.png).

 

Q5: What are other obligations after its setting up?

A5: (1) to file the annual plan: The foreign NGOs in China should file the annual plan in the next year before 31st December of each year, covering the business plan, the use of funds to the competent administration authority and then file the annual plan form to the public security within ten days since the approval of the administration authority. (2) to make the annual report: The foreign NGOs in China should file annual report for the last year before 31st January to the competent administration authority, covering the audit report of last year, the statement on its business activities and the changes of the personnel and etc. Then it should also file the annual report form to the public security before 31st March. Such annual report will open to the public.

 

Dongjin comments:

  1. The local government is still considering on the definition of the NGOs, e.g. whether the European Commission, the United Union is considered as the non-governmental organizations? Further, some consulates will provide funds support on the NGOS and whether such activities are administrated by this new regulation?
  2. If the company wants to make funds supporting to the domestic charity organization, it is NOT applicable to this new regulation because it is not non-governmental organization.
  3. Although the competent authority is listed, some of them are not familiar with making approval on NGOs. The foreign NGO can seek for the coordination from the public security.

 

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

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