China Property Sale Tax Preparation Checklist

KEYWAY CONSULTING Practical Resources for Foreign Property Owners --------------------------------------- 【Version 2026】 Tax Preparation Guide for Foreign Property Owners in China Before Selling Your Property Before listing your property, make sure you understand the tax implications of the sale. Proper tax preparation can help avoid delays during property transfer and fund remittance. Step 1 – Confirm Property Information ☐ Property Ownership Certificate ☐ Property Address ☐ Property Type • Residential • Commercial • Office • Retail • Industrial ☐ Date of Purchase ☐ Purchase Price ☐ Current Estimated Selling Price Step 2 – Prepare Supporting Documents ☐ Original Purchase Contract ☐ Property Ownership Certificate ☐ Passport / Identification ☐ Marriage Certificate (if applicable) ☐ Previous Tax Payment Records (if available) ☐ Renovation Invoices (if applicable) ☐ Agency Agreement (if applicable) ☐ Loan payment records (if mortgage applicable) Step 3 – Review Potential Taxes Depending on your circumstances, the transaction may involve: ☐ Individual Income Tax (IIT) ☐ Value-Added Tax (VAT), where applicable ☐ Stamp Duty ☐ Land Appreciation Tax (commercial property or corporate ownership may involve additional rules) ☐ Other local taxes or administrative fees Note: Applicable taxes vary depending on property type, ownership structure, holding period, and local regulations. Step 4 – Prepare for Tax Declaration Before attending the tax bureau: ☐ Verify ownership information ☐ Confirm transaction price ☐ Prepare identity documents ☐ Prepare authorization documents (if represented by an attorney-in-fact) ☐ Check appointment requirements Step 5 – Obtain Tax Clearance Before property transfer: ☐ Complete tax declaration ☐ Pay applicable taxes ☐ Obtain Tax Payment Certificates ☐ Keep original receipts These documents may also be required later by your bank when transferring funds overseas. Step 6 – Prepare for Fund Transfer After taxes are completed: ☐ Sale Contract ☐ Tax Payment Certificates ☐ Property Transfer Documents ☐ Bank Account Information ☐ Foreign Exchange Documentation (where required) ☐ Overseas Receiving Bank Details Common Tax Mistakes ❌ Waiting until a buyer is found before reviewing tax obligations ❌ Losing the original purchase contract ❌ Missing supporting invoices ❌ Assuming all cities apply the same tax rules ❌ Failing to retain tax payment certificates for bank review Tax Planning Tips ✔ Review your documents before listing the property. ✔ Understand the tax implications of your ownership structure. ✔ Coordinate tax planning with your property sale timeline. ✔ Prepare documentation for both tax authorities and your bank. ✔ Plan the overseas fund transfer before closing the transaction. Frequently Asked Questions

1. Will foreigners pay different taxes when selling property in China? No, same taxes are involved for foreigners. In many cases, the applicable tax framework is based on the transaction itself, although documentation requirements may differ for foreign owners. 2. Can I transfer the sale proceeds before paying taxes? No. Tax clearance is generally required before the property transfer is completed, and banks typically require proof of tax payment before processing overseas remittance. 3. Can tax documents affect fund remittance? Yes. Banks commonly require tax payment certificates and transaction documents as part of their compliance review before processing cross-border transfers.

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Need Professional Assistance? Whether you are a foreign individual, overseas Chinese, heir, or foreign company, we help coordinate: • Property sale preparation • Tax documentation review • Cross-border compliance • Bank coordination • Overseas fund remittance 📧: erichu@keywayconsulting.cn WeChat: Eric-033 📞: +8610 13810629497 Linkedin: https://www.linkedin.com/in/eric-hu-a2829017

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China Property Sale Tax Preparation Checklist