Is there any specific rule about WFOE transferring its annual profit to investor's overseas account?
Yes. There will be 10% income tax imposed on the net profit amount when investor transfers company profit out of China. Also, WFOE must keep 10% of its annual net profit as company’s reserve fund and certain proportion as staff bonus and supplementary benefit fund. When the total reserve fund amount reaches company’s 50% of registered capital there won’t have to be new reserve fund from the next year. The proportion of staff bonus and supplementary benefit fund can be decided by the company executive director or board of directors. Usually, it can be 5%.