Tax-Payment Wave Hits Pharma Companies Under SET Scrutiny: BeiGene Pays 446 Million
After the close on June 26, BeiGene, Ltd. (688235.SH) announced that one of its domestic wholly owned subsidiaries had recently received notice from the local tax authority. The company agreed to make certain adjustments to previously filed tax returns and has already confirmed the relevant matters with the authority. It will pay roughly 446 million yuan in taxes and late fees as required; the amount is about 30% of its 2025 net profit.
According to BeiGene's 2025 annual report, the company recorded revenue of 38.225 billion yuan in 2025, up 40.46%; net profit attributable to shareholders was 1.461 billion yuan, turning from a loss of 4.978 billion yuan to profit; and net profit after non-recurring items was 1.420 billion yuan, also turning from a loss of 5.379 billion yuan to profit.
BeiGene said it recently received notice from the local tax authority regarding related tax matters and made certain adjustments to earlier tax filings. It had extensive and professional communication with the authority on technical recognition and the difference between tax and accounting treatment, and will complete payment as required. The matter does not involve administrative penalties. Based on the relevant corporate accounting standards, this does not count as a prior-period accounting error and does not require retroactive restatement of earlier financial data.
The company expects the matter to be recorded in 2026 current-period profit and loss. The exact impact on net profit will be subject to the audited financial statements, and the company says the event is not expected to materially affect its financial condition, going-concern ability, or normal operations.
Many pharma companies report large tax payments this year
Beyond BeiGene, several pharma companies have disclosed tax-payment or tax-adjustment announcements this year.
Aier Eye (300015.SH) announced on May 20 that after a tax self-inspection, it determined it needed to pay 348 million yuan in taxes and 176 million yuan in late fees, for a combined total of 524 million yuan.
China Meheco (600056.SH) announced on January 1 that its wholly owned subsidiaries Sanyao Pharmaceutical and Kangli Pharmaceutical had received tax notices and needed to pay a total of about 65.2178 million yuan in taxes and late fees, including 21.4862 million yuan in taxes and 10.7429 million yuan in late fees for Sanyao, and 21.2826 million yuan in taxes plus 11.7061 million yuan in late fees for Kangli.
In addition, Jiashitang (002462.SZ), Bluestar Medical (002382.SZ), and Chongqing Pharmaceutical Holding (000950.SZ) have also issued tax-payment announcements.
Strong Golden Tax Phase 4 oversight and concentrated cleanup of historical issues
It's not just the pharma industry. According to incomplete Wind data, as of June 25 at least 80 listed companies had disclosed tax-payment or tax-adjustment announcements this year, nearing the full-year total of 89 in 2025; the cumulative amount involved exceeded 6 billion yuan including taxes, late fees, and fines.
Gui Xin, founder of the Tianmu Venture Ecology initiative and senior partner at Taihe Tai (Shanghai) Law Firm, said the recent tax payments by BeiGene, Aier Eye, and other pharma listed companies after annual reports were released are essentially the concentrated exposure of historical compliance issues under the strong supervision of Golden Tax Phase 4—especially tax incentive application in pharma's high-R&D, multi-business models (such as high-tech qualification and extra R&D deductions), tax-accounting differences, and related-party transactions. These tax payments often happen after annual reports because companies finish annual settlement and audit, then proactively self-check to avoid inspection penalties. They also reflect the difference between audit's focus on financial truth and tax authorities' focus on tax-law application. Lawyers believe tax payments are usually policy-interpretation adjustments rather than financial fraud, and they reflect the normalization of tax compliance in capital markets as a "preemptive cleanup."
The lawyer further pointed out that this year's large tax payments in pharma and other industries are far more common and far larger than in previous years because Golden Tax Phase 4 has been fully deployed, enabling cross-department data penetration, combined with stricter oversight of tax incentives and the implementation of the VAT Law. This is forcing companies to clear up five to even ten years of historical tax risks in one go. Listed companies are also proactively “clearing landmines” and announcing them after annual audits and settlement to avoid hefty fines and disclosure risks, causing previously hidden stock issues to erupt in 2026 and creating what looks like a sudden wave of tax payments.
Will the tax-payment impact continue? Lawyers give a tiered view
Will this wave only affect this year, or become the norm? Gui Xin believes the huge tax payments are not limited to 2026. They have two layers: the big tax payments in 2026 are mainly a one-time cleanup of historical issues accumulated over several years (usually looking back 3-5 years). As proactive self-inspections progress, these large retrospective payments may gradually decline over the next 1-2 years.
But routine tax adjustments will remain for the long term. Golden Tax Phase 4's "taxation through data" is permanent infrastructure. Strict supervision of tax incentives, such as annual reviews for high-tech status and real-time checks of extra R&D deductions, will become normal. Companies may still face tax payments each year due to refined policy interpretation and related-party pricing adjustments during annual settlement, but amounts will return to normal levels and no longer involve concentrated cleanup of old, huge bills. Tax compliance will shift from occasional "landmine clearing" to a fixed day-to-day business cost.
