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Paying tax just got easier

August 01,2018

   
   

Shanghai companies can now authorize their bank in just two minutes online to pay tax directly from their accounts, replacing a process that took up to two days and at least one personal visit to the bank.

Under the agreement between banks and the tax office which took effect Monday, taxpayers can authorize the banks to withhold and remit tax from their designated accounts automatically, the Shanghai Office of the State Administration of Taxation said.

"This allows taxpayers to complete the third-party agreement signing without leaving home," said Li Junkun, chief accountant at the local taxation bureau.

"This replaces the old cumbersome, slow and inconvenient process. And it helps government departments provide better service and improve efficiency."

Twenty-one commercial banks have already signed up for the service, including the Industrial and Commercial Bank of China, Bank of China, Bank of Communications, China CITIC Bank and China Merchants Bank.

Another 10 are expected to join this month.

To use the new service, companies must be registered online with the Shanghai Online Tax Bureau and have registered their banks with the bureau.