Need to report.

According to the single investment fund accounting, the accounting method should be reported to the competent tax authorities for filing. Even if the annual income is 0, it also needs to be reported.

If a venture capital enterprise chooses to be accounted for as a single investment fund, its individual partners’ equity transfer income and dividend income from the fund shall be calculated and paid personal income tax at a tax rate of 20%.

After a venture capital enterprise chooses to calculate the annual income of the venture capital enterprise as a whole, it cannot be changed within 3 years.

If a venture capital enterprise chooses an accounting method that needs to be adjusted after three years, it must re-file with the competent tax authority before January 31 of the year following the three-year period.