HSBC announced that it has completed its first electronic tax payment for a corporate client in Shanghai, which the bank claims is a first among all foreign banks in the city.
The new tax payment solution deducts funds in real time and enables customers to complete tax reports and process payments on the State Administration of Taxation’s system terminal from any location, the bank said. Meanwhile, HSBC China said it has also introduced an electronic payment system which enables companies to submit cross-border payment documentation electronically through HSBCnet without having to present paper documents.
HSBC China said it will extend this service to its other branches across the country by the end of this year including Beijing, Tianjin, Xiamen, Chengdu and Chongqing.
“Financial liberalization is set to continue as we move towards the Chinese government’s objective to establish Shanghai as a leading international financial centre by 2020 and make RMB a leading currency offshore," said HSBC’s Head of Global Payments and Cash Management in China Kee Joo Wong in a statement. "Regulatory authorities are changing the cash management landscape to improve the ease of doing business in and with China. It is important, therefore, that treasurers remain up-to-date with new opportunities to enhance their cash management capabilities in China. We will continue to invest and innovate in the technology that will enable our customers to access robust cash management solutions as China evolves.”