The tax authorities said they found no tax issues with Liu Xiaoqing.

The Fourth Inspection Bureau of the Shanghai Municipal Taxation Bureau of the State Administration of Taxation of China issued a report on Friday (August 8, 2025) stating that it had recently conducted a legal investigation into tax violations involving Liu Xiaoqing and related companies. The investigation found no tax-related issues as reported.

Liu Xiaoqing posted a statement on Weibo that day: "Previously, there were reports of tax-related violations against me and related companies. After verification by the tax authorities, no tax-related issues as reported were found. Paying taxes in accordance with the law is the legal obligation of every citizen. I will continue to abide by national laws and regulations and pay taxes honestly and in accordance with the law."