How to meet the SAFE remittance document submission requirements: Detailed guidance

In the context of my country’s foreign exchange controls, remitters need to follow the regulations of the China Administration of Foreign Exchange and ensure that all required documents are prepared when remitting funds. The types of these documents vary depending on the nature of the remittance, and the specific requirements are as follows:

1. Cash on delivery

• Submit customs declarations, contracts, invoices, shipping orders and other relevant materials. Registration forms and licenses are also required, and documents related to specific products are also essential.

2. Advance payment

• For proforma invoices and contracts, a verification form provided by the bank must be submitted. If the remittance amount exceeds US$200,000, a prepayment guarantee issued by the foreign importing party’s bank must be attached. Exceptions include:
  • Domestic foreign-invested enterprises can advance payment for imported goods to their overseas parent companies or their overseas branches without a prepayment guarantee, but they still need to provide proforma invoices, contracts, verification orders, foreign exchange registration certificates or other supporting materials.
  • Chinese-funded enterprises can also advance payments to overseas branches, but they need to submit proforma invoices, contracts and relevant certificates.

3. Commission

• Submit import and export trade contracts and invoices. If it is an undercover commission (the commission and proportion are not specified in the contract), a commission agreement must be attached. If the commission exceeds 5% of the contract amount or US$10,000, approval from the Administration of Foreign Exchange is required.

4. Final payment

• An import and export trade contract and inspection certificate must be submitted.

5. Remittance of overseas travel expenses by foreign-invested enterprises

• Submit your passport containing a valid entry visa and a foreign exchange budget form for going abroad.

6. Employee salary remittance

• Submit board resolutions, company certificates, salary slips and tax payment certificates.

7. Bonus and dividend remittance

• Need to provide the profit distribution resolution of the board of directors, the “Foreign Exchange Registration Certificate of Foreign-Invested Enterprises”, a capital verification report issued by a certified public accountant, and the audit report and tax certificate of relevant annual profits or dividends.

8. Remit foreign patent related fees

• Including patent license fees and transfer fees, contracts, invoices, filing receipts from the national patent authorities and relevant certificates from the foreign trade and economic authorities must be submitted.

9. Trademark licensing fee remittance

• Contracts, invoices and tax receipts are also required, but fees related to patents or proprietary technologies are not included.

10. Shipping and other charges

• For import and export sea freight, transportation contracts, overseas company invoices and bills of lading need to be submitted. At the same time, overseas agency fees and international telecommunications services must also provide necessary documents in accordance with relevant regulations, such as contracts, invoices and business approval documents from the information industry authorities.

11. Remittance of offshore fishery expenses

• Includes a variety of expense types, such as fishing fees, fuel fees, foreign crew wages, etc. All related expenses require appropriate contracts, invoices or other proofs.

12. Payment for overseas contracted projects

• Submit foreign contracting contracts, project budget sheets, and approval documents from the foreign trade and economic authorities.

When conducting foreign exchange transactions, it is very important to ensure that the documents required for each type of remittance are complete. This not only helps with compliance but is also a necessary prerequisite for the smooth completion of remittances.