Maoshan Taoism, 茅山道术, also know as 茅山术, is a legendary mystical art (magic) famous for the user's ability to mainly 'dispel' evil spirits and 'subdue' demons as secondary. This form of art were performed with the help of talisman (usually paper) and other forms of rituals and equipment, which enables the user's hidden magical ability to emerge from within and "rid the world of the evil".

As you would guess from the text "hidden magical ability" it is of course saying that these people who have/ had such abilities were none other than muggles. Yes, muggles. Everyone has magic within them, in certain unique cases has none at all, e.g. squib. Vice verse there are cases they are indeed muggles but with a small amount of magic in them, just unfortunately not enough to be a full fledged witch or wizard.

Those who has a more prominent magic in them became witches and wizards like us, those who do not but yet has a tab higher magic in them tend to be able to do certain "strange things" which muggles end up brushing them off and calling them, "God's gift". More of these "strange things and gifts" they could do would be elaborated on related chapters.

Now one must think if these "gifted people" or "chosen ones" ever knew they are dealing with real magic? Perhaps they do, perhaps not, but all of these people are on close tabs of the Ministry of Magic China and registered should one day it was needed to reveal the truth, which thankfully none needed so far.

Also with a healthy dose of muggle superstitious and the help of gossipy muggle women, the Ministry of Magic China has successful cover up any form of believe this form of art is indeed actually a branch of magic. In fact even now when muggle folks were told or start mentioning about Maoshan Taoism they would simple laugh and brush it off as a folk tale. 

The cover up stories, (comprising of various members of the Misuse of Muggle Artifacts China team, working together pretending to be con artists at various sites where muggles started to detect witchcraft), was so successful in the muggle world it has even made a spark in their entertainment world. Which they eventually made various movies and dramas about them, which all turn out to be hits.

In China there is two famous families known for this form of art, they are the South Mo (南毛) family and the North Ma (北马) family, comprising of male disciples for the South and female disciples for the North mostly.

Of course like every family these two families has also the best and most famous disciples/ descendants. For the Mo family there is Mao Xiao Fang (毛小方), and Ma Xiao Ling (马小玲) for the Ma family. Both masters of their trade and dedicated to their line and most of the movies and dramas were depicted after them.

References to chapter ideas:

http://wenwen.sogou.com/z/q234395908.htm

http://baike.baidu.com/view/1358676.htm