Pharma Companies Face Tax Back Payment Wave: Golden Tax Phase IV Drives Compliance Cleanup
On June 26, after market close, BeiGene Co., Ltd. (688235.SH) announced that its wholly-owned domestic subsidiary recently received a notice from the local competent tax authority. The company agreed to make certain adjustments to previously filed tax returns, completed confirmation of related tax matters with the authority, and will pay back taxes and surcharges totaling approximately 446 million yuan. This amount is about 30% of the company's 2025 net profit.
According to BeiGene's previously released 2025 annual report, the company achieved revenue of 38.225 billion yuan in 2025, up 40.46% year-on-year; net profit attributable to parent was 1.461 billion yuan, turning from a loss of 4.978 billion yuan; net profit after deducting non-recurring gains and losses was 1.420 billion yuan, turning from a loss of 5.379 billion yuan.
BeiGene told media that the company recently received a notice from the local tax authority regarding relevant tax matters, requiring certain adjustments to previously filed tax returns. The company fully and professionally communicated with the authority on the technical determination of these tax matters and differences in tax and accounting treatment, and will complete the payment as required. This matter does not involve administrative penalties. Based on the judgment of relevant accounting standards, the matter does not constitute a prior accounting error and does not involve retrospective adjustment of prior financial data.
The company expects to record it in current period profit or loss for 2026. The specific impact on net profit is subject to the audited financial statements. This matter is not expected to have a material adverse impact on the company's financial condition, going concern, or normal operations.
Several Pharma Companies Disclosed Large Tax Back Payments or Tax Adjustments This Year
Public information shows that besides BeiGene, Aier Eye Hospital (300015.SZ) announced on May 20 that after conducting a self-inspection of tax matters as required by law, it confirmed the need to pay back taxes of 348 million yuan and surcharges of 176 million yuan, totaling 524 million yuan.
China Medicine (600056.SH) announced on January 1 that its wholly-owned subsidiaries Sanyang Pharmaceutical and Kangli Pharmaceutical received tax notices requiring a total of approximately 65.22 million yuan in back taxes and surcharges. Sanyang Pharmaceutical paid back taxes of 21.49 million yuan and surcharges of 10.74 million yuan; Kangli Pharmaceutical paid back taxes of 21.28 million yuan and surcharges of 11.71 million yuan.
Additionally, companies such as Jiashitang (002462.SZ), Blue Sail Medical (002382.SZ), and Chongqing Medicine Holdings (000950.SZ) also issued tax back payment announcements.
Data Shows Tax Back Payment Announcements Approaching Full-Year Total, Involving Over 6 Billion Yuan
According to incomplete statistics from Wind data, as of June 25, at least 80 listed companies have disclosed tax back payment or tax adjustment related announcements this year, approaching the total of 89 for the full year 2025; cumulative back taxes, surcharges, and fines involved exceed 6 billion yuan.
Lawyer Interpretation: Golden Tax Phase IV Strict Supervision and Tax-Accounting Differences Prompt Central Clearing of Historical Risks
Lawyer Gui Xin, senior partner at Tahota (Shanghai) Law Firm and initiator of Tianmu Venture Capital Ecosystem, said that the recent back tax payments by listed pharma companies like BeiGene and Aier Eye Hospital after annual reports are essentially related to the strict supervision of Golden Tax Phase IV. The high R&D investment and diversified business models in the pharma industry have led to the concentrated exposure of historical compliance issues such as tax preference application (e.g., high-tech qualification, R&D super deductions), tax-accounting differences, and related-party transactions.
Back tax payments mostly occur after annual reports because companies conduct tax self-inspections after completing annual settlements and audits, as a compliance choice to avoid investigation fines. This also reflects the difference in focus: audits emphasize financial authenticity, while tax authorities emphasize tax law application. Back tax payments are usually adjustments in policy interpretation rather than financial fraud, reflecting the normalization of tax compliance in capital markets and self-correction.
In response to the question 'Will this wave of back tax payments only occur this year or become normalized?', the lawyer believes that the wave of large back tax payments is not limited to 2026. It has two layers: the concentrated large back tax payments in 2026 are primarily a one-time clearing of historical risks (e.g., deviations in high-tech qualification, old tax-accounting differences) accumulated over multiple years (typically 3-5 years retrospective). As proactive self-inspections progress, such large retroactive back tax payments will gradually decrease over the next 1-2 years.
At the same time, normalized tax adjustments will persist long-term. Golden Tax Phase IV's data-based tax administration is ongoing infrastructure; strict supervision of tax preferences (annual high-tech qualification review, real-time R&D super deduction verification) has become routine. In the future, companies may still face back tax payments during annual settlements due to refined policy interpretations and related-party transaction pricing adjustments, but the amounts will return to normal levels without concentrated massive historical clearances. Tax compliance will also solidify from an occasional risk-clearing event into a routine operational cost for enterprises.
