China’s New Regulatory Framework for Digital Platforms: Expanding Compliance Burdens for Cross-Border Online Marketplaces
China’s Online Marketplace Tax Information Reporting Regulation has fundamentally reshaped the compliance landscape for digital commerce since its launch in June 2025. The regulatory framework mandates that offshore online marketplaces submit basic operational data by 30 July 2025, followed by comprehensive information on merchants and individual practitioners (such as influencers and content creators) by 31 October 2025. This reporting scheme enhances transparency by enabling relevant authorities to effectively obtain tax-related information from online marketplaces’ merchants and practitioners. Through this improved oversight capability, authorities can effectively eliminate the traditional separation between registration and operational jurisdictions that previously enabled tax arbitrage, thereby fostering a fair and legally compliant business environment.