The article discusses the issues of religion and state-religion relations in China today. The authors' goal is to prove that the current government of China addresses the concenrns of believers. The authors have given a historical review of the politicy regarding religion in the PRC in the 20th - early 21st centuries. The functions of the PRC public authorities on religious affairs have been considered. The authors analyzed the basic legislation of the PRC in religious affairs. The structure of religious organizations and the procedure of registration of teachers in religious educational institutions have been shown. A detailed analysis and objective commentaries have been given concerning main provisions on religious affairs in China, which are regulated by the Decree of the State Council of the PRC No. 686 dated 26 March 2017. The authors have come to the conclusion that the Government of China has reformed its policy towards believing citizens of the country with a due concern for state-religion relations.