China Issues New Income Tax Rules for Offshore Trusts

China has issued new tax rules for offshore trusts. The Ministry of Finance announced the change in 2026. Resident individuals face a 20 percent tax on property transfers. You must also submit mandatory annual income reports.

• 20% tax rate on gains from property transferred into offshore trusts
• Mandatory annual income reporting required for offshore trust assets
• 90-day grace period to settle past unpaid taxes without interest
• Based on Announcement No. 21 of 2026 from China's tax authorities

Authorities opened a 90-day grace period. Taxpayers can settle past unpaid liabilities now. During this window, you will not pay late interest fees.

This change affects Chinese professionals and business owners in Copenhagen. Many local residents hold cross-border assets or offshore trusts. Denmark and China share financial data under global tax reporting rules. You should review your wealth setup soon to stay compliant.