Accountants, auditors, tax advisor, IT and business consultants in Dubai
We specialize in a wide variety of services including accounting, auditing, company setting up, business consulting, IT consulting and liquidation of companies which can help you achieve all of your personal and business goals.
PIPL China: How to Prepare for China’s New Data Protection Law
China’s new data protection law regulates how companies must handle personal data. Failure to comply can lead to penalties. Companies must act now and implement the new rules.
The Personal Information Protection Law (PIPL) came into effect on 1 November 2021. Together with the PIPL, three laws now form the framework for data protection in China:
Cyber Security Law (2017)
Data Security Law (September 2021)
Personal Information Protection Law (1 November 2021)
What are the Possible Penalties?
The PIPL regulates the protection of personal data, for example how consent is to be obtained and how transparent data processing must be. Those who break the law can be fined up to RMB 50 million (approx. USD 8 million). In serious cases, there is even a risk of a business ban and criminal prosecution, explains the Ecovis expert. Individuals responsible for data protection can be fined up to RMB 1 million (approx. USD 160,000).
The Chinese data protection law has its drawbacks. We can support you in the correct implementation. Richard Hoffmann, Lawyer, Ecovis Heidelberg, Germany
Foreign Companies are also Affected
It gets tricky for foreign companies if they transfer personal data from China to other countries. Companies must ensure that the handling of data abroad complies with the PIPL regulations and the foreign data protection law. They must also designate those responsible for data protection. It is particularly important that personal data must be stored in China if it exceeds a certain (and as yet undefined) amount.
The law affects the data of all Chinese people. Therefore, it also affects companies outside of China that process this data. It is still unclear which data the law defines as “important”. Companies must submit such data to a further security check before it can be transmitted.
What Companies Should Do Now
Determine a person responsible for the handling of personal data. It is imperative that companies abroad find good representation in China.
Revise measures for the protection of personal data, adapt them to the PIPL and keep them up to date.
Depending on the size of the company, the use of the data and the available resources, consider what is more suitable: transferring the data or saving it locally.
The principle of the company car in Belgium will not be affected for the time being, but there will be drastic changes in the near future. From 2026, employers will only be able to offer electric company cars if they do not want to lose their tax advantage. All cars must then be emissions-free. If this is not the case, businesses will no longer be able to deduct the costs of the company car from tax.
Petrol, hybrids and diesel cars registered up to and including 1 July 2023 will not lose their tax benefit. A transitional arrangement will apply to the period between 1 July 2023 and 31 December 2025.
The Deductibility of Cars
The government intends to completely stop the deductibility of cars with internal combustion engines by 2028. In 2025, the deductibility will be capped at a maximum of 75% and this will gradually decrease to 0% by 2028.
Do you have questions about electric company cars in Belgium? We explain the new rules to you. Karine Vandenplas, Business Manager, ECOVIS Lindra, Leuven, Belgium
What will Change for the Employee?
Employees are taxed on the benefit in kind (BIK) for the private use of their company car. The amount of BIK is linked to the car’s CO₂ emissions and is therefore considerably lower for electric cars than for those with an internal combustion engine. This mechanism will also remain in place under the new rules, which means that the tax on BIK will decrease for people who switch to an emissions-free company car.
Installation of Charging Stations
Due to the increase in the number of electric cars in the future, more charging stations will be needed. The Flemish government is promising to install at least 30,000 public charging stations by 2025 for people who do not have their own. Companies that install charging stations in their car parks before the end of 2022 will be able to deduct these costs at 200%, provided that these charging stations are also open to the public, explain the Ecovis experts. Employees who install their own charging station before 2023 will be able to deduct 45% of the costs in their personal tax return. After this date, the tax benefit will drop to 30%.
Accounting Firms in Australia: ECOVIS Clark Jacobs makes the Top 100 Firms
ECOVIS Clark Jacobs has again been named in the Australian Financial Review’s Top 100 Accounting Firms, ranking #58 for 2021. Published each year in November, the AFR’s list ranks accounting firms by total revenue for the financial year, but also examines revenue growth, new partners and number of graduates. They also review the industry trends for that year, scrutinizing movements within the sector and what this means for accountants and their clients.
ECOVIS Clark Jacobs has been part of the AFR’s Top 100 for the past 15 years. Ten years ago, the Firm was ranked #90 in Australia and has gradually improved its position through the years.
Our business has grown significantly during the past decade and the AFR’s Top 100 has documented our development as we’ve moved up the list. It’s exciting to see the progress year-on-year, particularly considering the calibre of firms on the list. David Conley, Director, ECOVIS Clark Jacobs in Sydney
While offering an extensive range of services, ECOVIS Clark Jacobs has developed particular expertise in providing services to clients in the specialised sectors of medicine, dentistry, law and financial services.
They also provide a comprehensive offering for offshore companies wanting to expand into Australia, advising on everything from trading structures to tax registrations and insurance, and helping with ongoing business needs such as an outsourced finance, admin and payroll function. They can also assist with resident director services, to satisfy this legal requirement when a foreign enterprise doesn’t have a director residing in Australia.