Mainland and Hong Kong Closer Economic Partnership Arrangement (CEPA)

Accounting Services

Relevant Mainland Rules and Regulations

Rules and regulations promulgated by the Mainland authorities relating to the implementation of commitments under CEPA : 

• Unless otherwise specified by any state laws or administrative regulations, the following conditions shall be met for the establishment of a bookkeeping agency:

1. the agency should be established in conformity with legal provisions;
2. there should be 3 or more full-time personnel who have obtained the qualification certificate of accounting practice;
3. the person in charge of the bookkeeping services should hold the relevant Mainland's professional qualification (professional title) of accountant or above, or be in practice of accounting for not less than three years and be a full time practitioner;
4. the agency should have sound internal rules for agency bookkeeping business.

• For other details of setting up bookkeeping agencies and the materials required for submission, please refer to:
  • "Measures on the Administration of Bookkeeping Services" (Decree of the Ministry of Finance No. 80 - Feb 2016) (in Chinese only)
  • "Decision of the Ministry of Finance to Amend Two Departmental Regulations Including the Measures on the Administration of Bookkeeping Services" (Decree of the Ministry of Finance No. 98) (in Chinese only)

Temporary Auditing Business

• To carry out temporary practice in the Mainland, external accounting firms (including Hong Kong accounting firms) shall submit a written application to the provincial department of finance at the location of its temporary practice. The validity of the temporary practice permit for Hong Kong and Macao accounting firms is 5 years.
• For the application method and other related information, please refer to:
  • "Notice on Interim Provisions on the Temporary Auditing Business Carried out in the Mainland by Overseas Accounting Firms" (Circular of the Ministry of Finance No. 4 - Mar 2011) (in Chinese only)
  • "Notice on Simplifying the Application Materials Required for Hong Kong and Macao Accounting Firms Carrying out Temporary Auditing Business in the Mainland" (Circular of the Ministry of Finance No. 16 - Sept 2012) (in Chinese only)
  • "Notice on Issues concerning the Policy Transition in Delegating the Examination and Approval Authority with Respect to the Temporary Auditing Business Carried out in the Mainland by Overseas Accounting Firms" (Circular of the Ministry of Finance No. 25 - Dec 2013) (in Chinese only)
  • "Notice on Interim Provisions on the Auditing Business of Overseas Listing of Mainland Enterprises Engaged by Accounting Firms" (Circular of the Ministry of Finance No. 9 - May 2015) (in Chinese only)

• When applying to be the partner of a partnership accounting firm in the Mainland, Hong Kong accounting professionals should meet the requirements set out by the "Law of the People's Republic of China on Certified Public Accountants", "Regulation on Practice Licensing and Supervision of Accounting Firms" and other rules and regulations on the qualification requirements of partners, such as being qualified as a Certified Public Accountant in the Mainland, the length of auditing experience requirement and a clean record of prior administrative punishment.
• When Hong Kong accounting professionals apply to become partners of accounting firms in the Mainland, the length of auditing experience that they have acquired in Hong Kong is considered equivalent to the length of auditing experience acquired in the Mainland.

• For details, please refer to:
  • "Decision of the Ministry of Finance to Amend Two Departmental Regulations Including the Regulation on Practice Licensing and Supervision of Accounting Firms" (Decree of the Ministry of Finance No. 97) (in Chinese only)
  • "Interim Measures on the Professional Liability Insurance of Accounting Firms" (Circular of the Ministry of Finance No. 13 - Jun 2015) (in Chinese only)
  • "Notice on Interim Provisions on the Auditing Business of Overseas Listing of Mainland Enterprises Engaged by Accounting Firms" (Circular of the Ministry of Finance No. 9 - May 2015) (in Chinese only)
  • "Provisions on Strengthening of the Provisions in Securities Issued Overseas and Confidentiality and Records Management regarding Listing of Company" (China Securities Regulatory Commission, National Administration for the Protection of State Secrets & State Archive Administration No. 29 - Oct 2009) (in Chinese only)

• Accounting Professional Technician Qualification
  • Accounting professionals can acquire the Accounting Professional Technician Qualification after passing the national uniform examination. There are 3 levels in the qualification framework, namely the elementary, the intermediate and the advanced. Acquiring the qualification of a particular level means that one is capable of performing the accounting technical duties specified for that level.
  • Hong Kong residents who meet the criteria of the "Interim Provisions on the Accounting Professional Technician Qualification Examination" can apply for attendance at the examination. For details, please refer to.
    • "Interim Provisions on the Accounting Professional Technician Qualification Examination and its Implementation Measures" (Circular of the Ministry of Finance No. 11 - Sep 2000) (in Chinese only)
    • "Notice on Adjustments of Subjects for the Accounting Professional Technician Qualification Examination and Related Issues" (CaiBanKuai No.25 - Aug 2004) (in Chinese only)
• Certified Public Accountant Qualification
  • Hong Kong residents can apply for attendance at the national uniform examination for Certified Public Accountants if they are:
    1. Chinese citizens who have completed a college or a university program at an institution recognized by the education administration authority of the People's Republic of China; or
    2. Holders of a Certified Public Accountant qualification (or other equivalent qualifications) recognized by Hong Kong, Macao, Taiwan or foreign laws.
• Furthermore, individuals can apply to be exempted from 4 papers, including "Financial Management and Cost Management", "Auditing", "Accounting" and "Corporate Strategies and Risk Management" when sitting for the national uniform examination for Certified Public Accountants if they:
  1. Have attended the Hong Kong Institute of Certified Public Accountants Qualification Programme Module Examinations and passed all of the subjects; or
  2. Have passed the inspection and became a member of the Hong Kong Institute of Certified Public Accountants on or before 29 July 2008.
• For details, please refer to:
  • "Measures on the Certified Public Accountant Examination of China" (Decree of the Ministry of Finance No. 75 - Apr 2014) (in Chinese only)
  • "Measures on the Participation of Residents of Hong Kong, Macao and Taiwan and other Foreign Citizens in the Certified Public Accountant Examination of China" (Circular of the Ministry of Finance No. 22 - Jun 2014) (in Chinese only)
  • "Law of the People's Republic of China on Certified Public Accountants" (Order of the President of People's Republic of China No. 13 - Oct 1993) (in Chinese only) 
  • "Measures on the Registration of Certified Accountants" (Mar 2019) (in Chinese only)
  • "Accounting Law of the People's Republic of China" (Nov 2017) (in Chinese only)

For other details, please refer to:

• "Circular on Deepening the Reform of 'Separating Operating Permits and Business Licenses' to Further Boost the Vitality of Market Entities for Development" (May 2021) (in Chinese only)

Enquiries concerning the application procedures and requirements for the establishment of foreign-invested accounting firms can be directed to: 

• The Ministry of Finance of the People's Republic of China
  ( Website: http://www.mof.gov.cn )
• The Chinese Institute of Certified Public Accountants
  ( Website: http://www.cicpa.org.cn )