The four largest global accounting and advisory firms — Deloitte, PricewaterhouseCoopers (PwC), Ernst & Young (EY), and KPMG — all maintain substantial China practices with dedicated human capital tax and global mobility teams. These teams provide personal income tax (PIT) compliance, advisory, and planning services to multinational companies and their expatriate employees assigned to China.
China's Individual Income Tax (IIT) system underwent a significant restructuring in 2019, introducing a new classification system for income types, new standard deductions, and — most significantly for expatriates — a new residency test based on 183 days in a calendar year, with different implications depending on whether the individual is a Chinese tax resident or non-resident.
For expatriates on assignment from overseas companies, the tax position can be complex: income from outside China may or may not be subject to Chinese IIT depending on residency status and the terms of applicable tax treaties between China and the home country. China has tax treaties with many countries (including the UK, Germany, France, Japan, Australia, and others) that can reduce double taxation, but applying treaty provisions correctly requires specialist advice.
Deloitte, PwC, EY, and KPMG each have global mobility tax practices that coordinate between China and the home country's tax obligations — ensuring that the total tax cost of an assignment is minimised within legal bounds and that both Chinese and home-country obligations are met. For individuals on employer-sponsored assignments, the employer typically engages the Big Four firm; self-employed expatriates or those not covered by employer schemes must seek individual advisory services.
All four firms maintain offices in Beijing, Shanghai, Guangzhou, and several other major Chinese cities, with English-speaking advisers experienced in expatriate situations. Fees are typically time-billed at partner or senior manager rates and should be budgeted accordingly for annual compliance work.