Article 1 These Rules are formulated in accordance with the Guidance for the Administration of Foreign Exchange in Trade in Services (hereinafter referred to as the Guidance).
Article 2 These Detailed Rules apply to the foreign exchange receipts and payments (hereinafter collectively referred to as service foreign exchange receipts and payments) of foreign currencies other than trade in goods, such as trade in services, receipts and current transfers.
Article 3 Domestic agencies and domestic individuals shall apply for the declaration of foreign exchange receipts and payments in service trade in accordance with the provisions of the statement of international payments.
Financial institutions shall, in accordance with the declaration on balance of payments and Article 14 of these Detailed Rules, examine the declaration vouchers completed by domestic institutions and domestic individuals and submit the information to SAFE in time.
Chapter One Foreign Exchange Revenue and Expenditure Review
Article 4 A financial institution shall conduct a reasonable review of the authenticity of the transaction documents and its consistency with the foreign exchange receipts and payments in accordance with the provisions of the Guidelines and these Detailed Rules when handling foreign exchange receipts and disbursements for services trade.
Where a transactional document examined by a financial institution fails to prove that the transaction is genuinely lawful or inconsistent with the foreign exchange receipts and payments made by the financial institution, the financial institution shall require the domestic institutions and individuals in the territory to supplement other transaction documents.
Financial institutions should exercise due diligence in accordance with the principle of “understanding your customers” and “knowing your business.”
Article 5 Financial institutions shall implement the relevant provisions of the Guidelines and these Detailed Rules into their own operational procedures and regulate specific business operations.
Article 6 For a foreign exchange revenue and expenditure business of trade in services equivalent to more than 50,000 U.S. dollars, the financial institution shall examine and keep the transaction documents in accordance with the following provisions.