Company: ILAG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001641172-25-006445
Chunk: 78

Company: Intelligent Living Application Group Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 3
Chunk 78
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 non-resident enterprise
shall declare and pay its tax payable within such time limits specified by the tax authority. If the non-resident enterprise voluntarily
declares and pays its tax payable before the tax authority orders it to do so, it shall be deemed that such enterprise has paid its tax
payable in time.

Regulations relating to Foreign Exchange

General Administration of Foreign Exchange

Under the PRC Foreign Currency Administration Rules
promulgated on January 29, 1996 and most recently amended on August 5, 2008 and various regulations issued by the State Administration
of Foreign Exchange of the PRC, or the SAFE and other relevant PRC government authorities, Renminbi is convertible into other currencies
for current account items, such as trade-related receipts and payments and payment of interest and dividends. The conversion of Renminbi
into other currencies and remittance of the converted foreign currency outside the PRC for of capital account items, such as direct equity
investments, loans and repatriation of investment, requires the prior approval from the SAFE or its local office.

Payments for transactions that take place within the
PRC must be made in Renminbi. Unless otherwise approved, PRC companies may not repatriate foreign currency payments received from abroad
or retain the same abroad. Foreign-invested enterprises may retain foreign exchange in accounts with designated foreign exchange banks
under the current account items subject to a cap set by the SAFE or its local office. Foreign exchange proceeds under the current accounts
may be either retained or sold to a financial institution engaged in settlement and sale of foreign exchange pursuant to relevant SAFE
rules and regulations. For foreign exchange proceeds under the capital accounts, approval from the SAFE is generally required for the
retention or sale of such proceeds to a financial institution engaged in settlement and sale of foreign exchange.

Pursuant to the Circular of the SAFE on Further Improving
and Adjusting Foreign Exchange Administration Policies for Direct Investment, or the SAFE Circular 59, promulgated by SAFE on November
19, 2012, which became effective on December 17, 2012 and subsequently amended from time to time, approval of SAFE is not required for
opening a foreign exchange account and depositing foreign exchange into the accounts relating to the direct investments. The SAFE Circular
59 also simplified foreign exchange-related registration required for the foreign investors to acquire the equity interests of Chinese
companies and further improve the administration on foreign exchange settlement for foreign-invested enterprises.

The Circular on Further Simpl