CHINA Law and Practice Contributed by: Chengchen Gan (Mark), Commerce & Finance Law Offices
7. Citizenship and Residency 7.1 Requirements for Domicile, Residency and Citizenship Residence and domicile, and residents and citizens, are two sets of seemingly similar but fundamentally different concepts. Residence Residence is determined based on registration, and refers to the primary place where a person conducts civil activities, crucial for legal matters like guardian - ship and debt fulfilment. A natural person’s habitual residence for over a year can be considered as their residence, while obtaining a residence permit does not confer rights equivalent to those of registered residence, such as voting rights, educational rights for children, and certain other social welfare benefits. Domicile Domicile can be acquired or changed. The concepts of being domiciled and resident are sim - ilar and can be acquired through long-term residence, among other behaviours. Resident This refers to individuals or legal entities engaged in production and consumption in their own country for an extended period. In principle, anyone with a residence in China or who resides in China for a cumulative total of 183 days or more within a tax year can become a resident. Further, according to the Regulations on the Admin - istration of Permanent Residence of Foreigners (Revi - sion Draft for Comment), foreign citizens who have made outstanding contributions, achieved interna - tional recognition, are needed for policy reasons, or have worked in China with a good reputation may apply for permanent residency in China. Citizenship See 7.2 Expeditious Citizenship .
7.2 Expeditious Citizenship On a global scale, acquiring PRC nationality involves high thresholds and rigorous scrutiny. The primary avenues for obtaining PRC nationality are through birthright or naturalisation applications. Birthright There are two main conditions for acquiring PRC nationality at birth: by bloodline or by place of birth. Children born abroad to Chinese citizen parents are eligible for PRC nationality unless both parents – or one parent – have settled abroad and the child is born there. Additionally, non-Chinese lineage individuals – ie, whose parents do not hold Chinese nationality but settle in China, can also acquire PRC nationality if they are born in China. Naturalisation Applications Those applying for nationality after birth must satisfy one of the conditions stipulated in the Nationality Law. These conditions include: • close family ties – for foreign nationals who have been married to a Chinese citizen of the opposite sex for over five years, have spent 75% or more of the year living in China, and have stable employ - ment, this is often considered the fastest route for foreign nationals to acquiring PRC nationality; It is important to note that Chinese law does not rec - ognise dual nationality. Foreigners who acquire Chi - nese nationality are required to renounce their foreign nationality status. 8. Planning for Minors, Adults with Disabilities and Elders 8.1 Special Planning Mechanisms With the advancement of laws and legislation, the attention to the special needs population is gradually being recognised. In recent years, the emergence of the Special Needs Trust System has helped to fill this gap, which effectively assisted to alleviate the con - cerns and pressures of the larger population which are families of the mentally challenged and the elderly. • permanent residency; and • other legitimate reasons.
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