China's Regulation on Dormant Companies

For the dormant status, according to the “Administrative Regulations of the People's Republic of China on the Registration of Market Entities - Article 30 If a market entity suffers business difficulties due to a natural disaster, accident, disaster, public health incident, social security incident, etc., it may decide, of its own accord to go into dormancy within a certain period of time, unless otherwise stipulated by laws and administrative regulations.

Before going into dormancy, the market entity shall negotiate with its employees on labor relation treatment and other related matters in accordance with the law.

The market entity shall go through record-filing with the registration authority before going into dormancy. The registration authority shall publicize information such as the period of business closure and the address where legal documents will be served through the national enterprise credit information publicity system.

The dormant period of the market entity shall not exceed three years. If the market entity carries on business activities during the dormant period, it shall be deemed to have resumed business and shall publicize the resumption through the national enterprise credit information publicity system.

During the dormant period of the market entity, the address where legal documents will be served may be used in lieu of the domicile or main premises.”, a Company could apply to be dormant in the Administration for Industry and Commerce and later register in Tax bureau. The dormant status would last no more than 3 years and during the dormant status, no tax filing is need.

Source: http://www.gov.cn/zhengce/content/2021-08/24/content_5632964.htm