Can a registered trademark be transferred? What is the transfer process? Do I need to pay taxes on the income from trademark transfer? There are certain risks in trademark transfer. The risk of trademark transfer is even greater when it is being registered, because it is not sure whether the trademark can be successfully registered. If it cannot be successful, the official fees used for the transfer will be wasted!

The process of trademark transfer during registration:

First, the buyer and seller sign a "Trademark Transfer Contract/Agreement".

Secondly, submit the prepared materials and notarial certificate to the Trademark Office, and then pay the transfer fee.

Then, the Trademark Office will issue an acceptance letter in about 1-2 months and start the review.

Finally, the Trademark Office will publish an announcement about 5-8 months after accepting the application and issue a "Certificate of Approval of Transfer of Registered Trademark" to both parties.

When the trademark registration is completed, a trademark registration certificate is obtained, and when the trademark transfer is completed, a "Certificate of Approval of Transfer of Registered Trademark" is obtained. When exercising trademark rights, the transferee needs to use both certificates together.

Do I need to pay taxes on the income from trademark transfer? How to pay taxes? The transfer of trademark rights is subject to tax, and the following taxes are required:

1. Corporate income tax

Corporate income tax is a tax on the production and operation income and other income of domestic-funded enterprises and business units in China. A tax levied on income. Including income from the transfer of property, because the trademark is an intangible asset belonging to the enterprise, so the enterprise should pay corporate income tax when transferring the trademark.

2. Value-added tax

Value-added tax refers to a turnover tax levied on the added value generated during the circulation of goods or services as the basis for tax calculation. The taxable scope of VAT includes cultural and creative services, which also includes transfer of trademarks, goodwill and copyright business acquisitions. Therefore, when handling trademark transfer, you need to pay 6%-10% value-added tax.

3. Stamp duty

Stamp duty is a tax levied on the act of receiving legally valid certificates in economic activities. According to the provisions of the "Interim Regulations on Stamp Duty", all individuals who sign a trademark transfer contract in China should pay stamp tax in China. my country's stamp tax rate is approximately 0.03%-0.05% of the contract amount.

4. Personal income tax

According to the provisions of the "Regulations on the Implementation of the Enterprise Income Tax Law of the People's Republic of China", the income obtained by individuals from providing the right to use trademark rights shall be treated as a franchise. Income from royalties is taxable. Therefore, if the trademark transferor or trademark licensor is an individual, personal income tax will also need to be paid.

That’s it