Central Bank Shanghai Headquarters: Relying on Blockchain Technology to Explore a New Model for Cross-border Remittance Tax Payment Business

On September 13, in order to further optimize the business environment and improve the convenience of cross-border tax payment, since February 2024, the Shanghai Headquarters of the People's Bank of China has cooperated with the State Administration of Taxation and the Shanghai Municipal Taxation Bureau to actively explore a new model of cross-border remittance tax payment business. The use of blockchain technology implementation of overseas remittance, tax payment, warehousing and other cross-border electronic tax payment business "one-stop" online processing has effectively resolved the three major pain points of non-resident enterprises' cross-border remittance tax payment "multi-head running", "high cost" and "difficult foreign exchange settlement".
As of the end of August 2024, the new mode of cross-border remittance tax payment in Shanghai has completed a total of 1.486 billion yuan in tax payment. The pilot banks include ICBC, Agricultural Bank of China and Bank of China, and the currencies involve RMB, US dollars, euros, yen, etc. The taxes involve corporate income tax and stamp duty.