It is not "say gay and go to jail" kind of situation, but LGBTQ community are actively being marginalized, and any form of promotion and organization are likely not paint the participants in favorable light.

One thing that might surprise the west (like the income and cost of living in China) is that Chinese policies are seldom delivered by a publicly avaliable written order, making it hard to find concrete proofs of government wrong doing. This give rises to the word "喝茶" (drink tea), typically means to pressure certain group or individual into submission without a formal procedure or record.

This culture of doing things "under the table" and several crackdown on investigative journalism has led to many inconclusive proof of wrongdoing and some misconception by many people from the west.

However, there are still plenty of evidence that many LGBTQ organizations are forsed to shutdown, non-heteralsexual couple not recieving appropriate benefit, and harassment from officials. Just to list a few,

• LGBTQ society forced to shutdown in top universities: https://bpr.studentorg.berkeley.edu/2022/04/17/the-silenced-lgbtq-students-in-china/
• LGBTQ advocacy group and safe spaces force to shutdown: https://www.thepinknews.com/2021/11/06/china-lgbt-advocacy-government-crackdown/ and https://www.nbcnews.com/news/world/china-beijing-lgbt-center-rcna85528
• Wechat and Weibo mass removal of LGBTQ account: https://www.thepinknews.com/2021/07/07/wechat-lgbt-accounts/ and https://chinadigitaltimes.net/2021/07/netizen-voices-lgbt-groups-metoo-activist-shut-down-by-wechat-weibo/?amp
• TV and video game ban: https://www.thepinknews.com/2021/10/02/china-video-games-gay-effeminate-men-ban/ and https://www.thepinknews.com/2021/09/03/china-masculinity-sissy-men-tv/
• Chinese non-heteralsexual couple required to list each other as "guardian" to recieve basic benefit: https://www.thepinknews.com/2019/08/06/same-sex-couples-china-name-legal-guardians/
• China public hospital conducts LGBTQ conversion therapy, also requires conversion therapy before gender affirming treatment: https://chinadigitaltimes.net/2017/11/hrw-urges-china-end-sexual-orientation-conversion-therapy/?amp
• Weaponizes regulation against LGBTQ societies: https://theconversation.com/the-chinese-government-claims-lgbtq-people-are-protected-from-discrimination-our-interviews-with-26-activists-tell-another-story-215158
• Restriction on LGBTQ dating app: https://www.scmp.com/tech/big-tech/article/3189767/founder-blued-chinas-largest-gay-dating-app-steps-down-after

https://www.thepinknews.com/2021/09/03/china-masculinity-sissy-men-tv/

Talks about more than just the tv ban

Not the worst place, you can apply for someone to be your legal guardian as a way to get around same sex marriage

But there are also no protections