The Shanghai Municipal Administration for Market Regulation, the Shanghai Municipal Tax Service, State Taxation Administration and other three authorities in Shanghai recently released the Guidelines on Comprehensively Deepening the Reform to Facilitate Exit of Businesses, which has taken effect and will remain valid until February 17, 2024.
The document clarifies that a simplified deregistration system would apply to all types of businesses and farmers' professional cooperatives except for listed joint-stock companies. For individual businesses deregistered in a simplified manner, there would be no need to make an announcement on the deregistration, and the registration authorities would push the application to the tax authorities. The document also simplifies the procedures and required materials for the deregistration of bankrupted enterprises, exempting them from submission of tax clearance certificates and making the announcement of the deregistration. The document also stresses the need to implement the reform of electronic deregistration for the whole process, urging to add App services related to digital signatures, delivery and return of business licenses and others, and explore to allow cancellation of business licenses and deregistration of tax affairs simultaneously.