Overpaid taxes
For example, if you’re a VAT taxpayer, you may apply for a VAT refund on exported goods.
The basics
Where Might a Potential Tax Rebate Lie?
During the previous decades that Hongda has been working with overseas clients in China, we are surprised to find out that many of the companies failed to take their tax rebate back and left their money behind without claiming.
If you don’t claim it, nobody comes and delivers it back to you! Typically, a company in China will pay corporation income tax, value added tax (VAT) and import/export tax. Those taxes add up and accumulate over years of your operation.
Eligibility, refund amount and timing depend on the tax type, records, local review and transaction facts.
Is it right for you?
Who Should Review Tax Rebate Eligibility
This service is for operating companies, WFOEs and foreign-invested enterprises that want to check whether their actual tax records, invoices and transaction facts may support a tax rebate or refund route.
Broader filing and advisory questions should be coordinated with China tax risk review.
How Hongda helps
How Hongda Helps
Hongda reviews tax records, accounting files, invoice support and the company’s transaction background, then helps identify whether a rebate/refund route is worth preparing.
- Review the company background, relevant tax records, invoice evidence and accounting files.
- Identify whether the file appears worth preparing for a tax bureau review or whether records need cleanup first.
- Coordinate supporting documents with China bookkeeping support when the accounting trail is incomplete.
- Escalate cash-flow or management questions to CFO outsourcing in China where refund timing or finance controls matter.
Can Hongda promise a refund amount? No. Eligibility, amount and timing depend on the tax type, records, local review and supporting evidence. Hongda can review the file and help prepare a practical next step.
How it works
How a tax refund application works, step by step.
Quick answer: a tax refund application runs in four stages: eligibility, application, authority review and refund. Select a stage for detail.
Stage 1 of 4
Verify eligibility
You need to first verify that you qualify, such as by overpaying taxes or being eligible for preferential policies.
- Whether you’ve overpaid taxes or meet certain criteria for specific refund policies.
- If you’re a VAT taxpayer, you may apply for a VAT refund on exported goods.
Stage 2 of 4
Submit the application
Submit a tax refund application to the local tax authorities along with supporting documents.
- Supporting documents such as VAT invoices, financial statements, and tax filing forms.
Stage 3 of 4
Authority review
The tax authorities will review your application.
- Review by the local tax authorities.
Stage 4 of 4
Refund
Once approved, the tax authorities will refund the overpaid taxes.
- Refunds are delivered to your bank account when available.
Claiming a tax refund yourself could be challenging, considering the complicated application materials and the time-consuming process.
Eligibility
How Eligibility Is Determined
Your eligibility for a tax refund depends on whether you’ve overpaid taxes or meet certain criteria for specific refund policies.
Preferential policies
If your company qualifies for high-tech enterprise status or meets other government incentive conditions, you may also be eligible.
Accurate filings
It’s essential to ensure that your tax filings are accurate and to provide the required supporting documentation to the tax authorities when applying.
Package and fees
What Is in the Tax Rebate Package
Within Hongda’s tax rebate package
- A free consultation (face-to-face or online) to discuss your situation in your preferred language;
- Detailed rebate plan and real-time progress updates;
- Your tax refunds delivered to your bank account when available;
- Reasonable and fair pricing without any hidden charges.
How fees are determined
The fees that Hongda charges usually depend on the amount for your tax rebate.
The period that can be claimed depends on the type of refund and the rules that apply; Hongda confirms this after reviewing your records.
Service areas
Where Can Hongda Help with a Tax Rebate?
In current stages, Hongda can only provide tax rebate services in the following areas:
- Shenzhen
- Hainan
- Guangzhou
- Beijing
- Shanghai
Why Hongda
Why Choose Hongda for a Tax Rebate Review?
Check eligibility against your actual records, with one China-based service team.
Since 2007
Serving foreign companies in China since 2007, with client relationships that go back to 2008.
One team, end to end
Company setup, banking, tax, payroll and work permits coordinated by one team.
In English, on the ground
English-language project management with a China-based team in seven locations.
Clear scope and limits
We confirm the scope before work begins and say which decisions rest with authorities or banks.
Trusted by companies including
Client voices
Clients who have stayed with us for years.
Travis Perkins
David Finch BA ACMA CMIIA CAMA
Director of Group Business Risk & Assurance, Travis Perkins PLC
With Hongda since 2008
Travis Perkins PLC (a leading builders merchant in the UK) has been using Hongda Business Services since 2008 for accounting and professional services. Throughout this time, we have found the team at Hongda to be very helpful and professional in their dealings with us. We look forward to working with the company in the future.
Sound United
Jack Peng
Vice President, Asia Pacific, Sound United
With Hongda since 2013
Sound United (a leading designer and manufacturer of consumer audio products in the US) has been using Hongda Business Services since 2013. Moving one’s operations to China is not a small task, but Hongda’s expert services helped us set up a company and deal with tax issues so we could get on with growing our business in no time at all, and that’s why we continue to use them today.
Tulip Pacific Ltd.
Erik de Waard
Director, Tulip Pacific Ltd.
With Hongda since 2012
Tulip Pacific Ltd. (Business planning and interim financial management services) has been using Hongda Business Services since 2012. Hongda has helped us set up legal entities in China/HK and takes care of our annual company audits. They are the most efficient business service provider I have worked with to-date, and their professional advice has helped me better advise my own clients and provide greater value to my overall business.
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Your team
The people you will work with.
Meet the three chief consultants at Hongda, including founder Angel Ho and co-founder Bobby Lee.
Angel Ho
Chief Consultant, CEO
Founder of Hongda in 2007. Holds Chinese Tax Agent, IPA (Australia) and IFA (UK) certificates. Provides one-stop services covering market access, company establishment, financial settlement, financial and tax consultation, and human resources management.
Bobby Lee
Chief Consultant
Co-founder of Hongda. Many years of corporate legal consultancy and involvement in managing client enterprises. Familiar with tax, personnel and project management work across Guangdong, Hong Kong and Macau. Excellent English communication skills.
Strong Song
Chief Consultant
24 years in enterprise management, business development, and financial and tax compliance. Has provided financial and tax advisory services for hundreds of companies. In-depth learning and practical experience in IFRS (International Financial Reporting Standards), Generally Accepted Auditing Standards and International Taxation.
Who should review tax rebate eligibility?
Foreign-invested enterprises, WFOEs and operating companies with tax-payment or export-related records should review eligibility only against their actual invoices, filings and transaction facts.
Can Hongda promise a refund amount?
No. Eligibility, amount and timing depend on the tax type, records, local review and supporting evidence. Hongda can review the file and help prepare a practical next step.
How does Hongda help?
Hongda reviews tax records, accounting files, invoice support and the company’s transaction background, then helps identify whether a rebate/refund route is worth preparing.
What are common mistakes?
Common mistakes include treating a general policy as automatic eligibility, missing invoice evidence, weak bookkeeping records and waiting until records are difficult to reconstruct.
How can you determine if my company is eligible for a tax refund?
Your eligibility for a tax refund depends on whether you’ve overpaid taxes or meet certain criteria for specific refund policies. For example, if you’re a VAT taxpayer, you may apply for a VAT refund on exported goods. Additionally, if your company qualifies for high-tech enterprise status or meets other government incentive conditions, you may also be eligible. It’s essential to ensure that your tax filings are accurate and to provide the required supporting documentation to the tax authorities when applying.
What is the process for applying for a tax refund?
You need to first verify that you qualify, such as by overpaying taxes or being eligible for preferential policies. Then, you should submit a tax refund application to the local tax authorities along with supporting documents, such as VAT invoices, financial statements, and tax filing forms. The tax authorities will review your application, and once approved, they will refund the overpaid taxes.
Contact our team
Still Have a Question? Get in Touch Today!
Share your plans, structure and timing. We confirm the scope with you before any work starts.