People's Republic Of China Regulations On Implementation Of The Individual Income Tax Law

Original Language Title: 中华人民共和国个人所得税法实施条例

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People's Republic of China promulgated by Decree No. 519  

                       Announced the State Council on changes of People's Republic of China decision of the implementing Ordinance on personal income tax law, as of March 1, 2008.

  Prime Minister Wen Jiabao

The February 18, 2008

State Council on amending the People's Republic of China Law on individual income tax regulations for the implementation of decision

Decision of the State Council of the People's Republic of China income tax law implementation regulations make the following modifications: One of the tenth article is revised as follows: "in the form of personal income, including cash, in kind, securities, and other forms of economic interests. Income in kind, shall obtain the prices indicated on the voucher should be taxable; no vouchers real much lower or the price specified on the voucher, approved by the reference to the market price of taxable. Income in negotiable securities, according to price and the market price should be verified on taxable income. Income in other forms of economic interests, approved by the reference to the market price of taxable.

” Second, 18th revised as follows: "item III of the sixth paragraph says the tax law the total income for each taxable year, refers to the taxpayer in accordance with the contract, leasing operations contracted share of operating profit and income from wages and salaries; said less necessary expenses refers to the monthly deduction for 2000.

” C, 27th revised as follows: "tax law article sixth additional deductions for expenses mentioned in the third paragraph, refers to 2000 cost is deducted from monthly on the basis of article 29th of this Ordinance the amount of costs is deducted.

” Four, 28th, fourth amendment: "other personnel identified fiscal and tax departments under the State Council.

” E, 29th is revised as follows: "article sixth of tax law mentioned in the third paragraph of the additional standard deduction for expenses for 2800 Yuan.

” Six, 40th is amended as: "the Nineth tax law mentioned in the second paragraph of article specific industry refers to mining, ocean shipping, deep-sea fishing industry, as well as other industries identified fiscal and tax departments under the State Council.



Seven, delete article 48th.

In addition, the provision made corresponding adjustments in the order, a modification of the individual words.

This decision shall take effect on March 1, 2008.



People's Republic of China income tax law implementation regulations make corresponding changes in accordance with this decision, republished.

People's Republic of China regulations on implementation of the individual income tax law



(January 28, 1994 People's Republic of China promulgated by Decree 142th released on December 19, 2005, the State Council on changes of People's Republic of China decision of the implementing Ordinance on personal income tax law amendment on February 18, 2008 for the first time the State Council on changes of People's Republic of China personal income tax regulations for the implementation of the decision on the second amendment)

Article in accordance with the People's Republic of China Law on personal income tax (hereinafter referred to as the tax law) provides that this Ordinance is enacted.

Tax law article I mentioned in the first paragraph of article are domiciled within the territory of China, refers to household, family, economic interests of habitual residence in China. Tax first mentioned in the first paragraph of article III resided in the territory for one year, refers to reside in China in a tax year 365 days.

Temporary absence, no deductions.

Temporary departure mentioned in the preceding paragraph, refers to the tax year at a time not later than 30th or more not exceeding in the aggregate 90 days to leave the country.

Tax first of the fourth paragraph and second paragraph of income derived within China, and refers to the PRC income mean by income derived from sources outside China, refers to the income came from outside China.

Article fifth following income, irrespective of the place of payment is within the territory of China, are obtained of the PRC:

(A) appointment and employment, performance income derived within China, such as the rendering of services;

(B) the lease of property to a lessee for use inside China of income;

(C) transfers within China, such as buildings, land use rights property, or other income from property transfer in China;

(D) license income from licensing rights for use inside China;

(E) from companies in China, enterprises and other economic organizations or individuals of interest, dividend, dividend income.

Sixth article in China territory no residence, but live one years above five years following of personal, its from China outside of proceeds, by competent tax organ approved, can only on by China territory company, and enterprise and other economic organization or personal paid of part paid personal income tax; live over five years of personal, from sixth years up, should on its from China outside of all proceeds paid personal income tax.

Article seventh without residence within the territory of China, but in China in a tax year consecutive or cumulative live not more than 90 days, personal, its income comes from China, by outside employers and not by the employers in China or a place to meet part of the exempt from paying personal income tax.

Eighth article of the personal income tax law article says range:

(A) wages and salaries refers to individuals as a result of occupation or employment is achieved by the wages, salaries, bonuses, year-end salary bonuses, allowances, subsidies, and labour as well as other income related to the occupation or employment.

(B) self-employed income from production and operation, refer to:

1. individual businesses engaged in industry, crafts, construction, transportation, Commerce, catering, services, repairs, as well as other industry production, management of income;

2. individual approved by the relevant government departments, licensing, engaged in educational, medical treatment, counselling and other fee income from service activities;

3. other individual engaged in business income from production and business;

4. the individual industrial and commercial households and individuals with access to production and business operations of the taxable income.

(C) income from contracted or leased operation of enterprises, and refers to the individuals contracted or leased operation as well as subcontracting, income from sublease, including individuals on a monthly basis or according to the nature of the wage and salary income gained.

(Four) labor paid proceeds, is refers to personal engaged in design, and decoration, and installation, and drawing, and laboratory, and test, and medical, and legal, and accounting, and advisory, and lecture, and news, and broadcast, and translation, and manuscripts, and painting, and carved, and television, and recording, and video, and performances, and performances, and advertising, and exhibition, and technology service, and introduced service, and brokers service, and Agent service and other labor made of proceeds.

(E) remuneration received, refers to individuals as a result of his work in books, newspapers and Periodicals publication, published in the form of income.

(F) royalty income, refers to individuals with patent, trademark, copyright, non-patented technology, as well as other concessions to obtain the right to income from income derived right to use provided copyright, excluding royalties income.

(G) interest, dividends, bonuses and refers to individual claims and obtained equity interest, dividend, dividend income.

(VIII) the lease of property, refers to rent buildings, land use rights, income from machinery, equipment, vehicles and other property.

(IX) income from transfer of property, refers to the transfer of securities, stock, buildings, land, machinery and equipment, vehicles, and other income from property.

(J) the contingent income refers to personal winning, winning, lottery and other incidental income.

The income gained by individuals, taxable income is difficult to define the project, identified by the competent tax authorities.

Nineth stock transfer methods of collection of individual income tax, financial sector shall be separately formulated by the State Council and submitted to the State Council for approval before implementation. Tenth in the form of personal income, including cash, in kind, securities, and other forms of economic interests. Income in kind, shall obtain the prices indicated on the voucher should be taxable; no vouchers real much lower or the price specified on the voucher, approved by the reference to the market price of taxable. Income in negotiable securities, according to price and the market price should be verified on taxable income.

Income in other forms of economic interests, approved by the reference to the market price of taxable.

11th said by the fourth article of the tax law once the income from remuneration for abnormal high remuneration refers to a personal once made, its taxable income of more than 20,000 yuan.

The preceding paragraph shall be the taxable portion of more than 20,000 yuan to 50,000 yuan, in accordance with the provisions of the tax law after the tax payable shall be calculated in accordance with the taxes levied 50%; portion of more than 50,000 yuan, imposed a 10.

12th tax law said interest on the national debt by the fourth article, refers to People's Republic of China Treasury bonds gained interest; said State-issued financial bonds, refers to the individuals held by the State Council approved the issuance of financial bonds and interest made.

13th tax law fourth article said according to uniform regulations issued by the subsidies and allowances, refers to the provisions issued by the State Council special allowance, academician allowance, senior academician allowance exempt from personal income tax the State subsidies and allowances.

Article 14th said fourth fourth of the tax law benefits refers to according to the relevant regulations of the State, enterprises, public institutions, State organs, social organizations retained benefits or Union funds to pay personal living subsidies; said Dole refers to Government civil affairs departments at all levels to pay for personal hardship grants.

15th tax law fourth eighth said, in accordance with the law shall be exempt from tax from various foreign embassies, consulates, diplomatic representatives, consular officers and other personnel of the refers, in accordance with the People's Republic of China diplomatic privileges and immunities and the People's Republic of China regulations on consular privileges and immunities exempt income.

16th tax law article fifth said the reduction of personal income tax, the reduction of amplitude and duration of the people's Governments of provinces, autonomous regions and municipalities.

17th tax law article sixth second said costs and expenses, is a taxpayer engaged in production or business operations of the direct expenditure and distribution accounted for in the costs of overheads and selling expenses, administrative expenses and financial expenses said loss refers to the taxpayer in production and operating expenses incurred in the course of business.
Taxpayers engaged in production or business operations do not provide a complete and accurate tax information and is unable to correctly calculate the taxable, approved by the competent tax authorities where the taxable.

18th tax law article sixth third said total income for each taxable year, refers to the taxpayer in accordance with the contract, leasing operations contracted share of operating profit and income from wages and salaries; said less necessary expenses refers to the monthly deduction for 2000.

19th tax law sixth paragraph says the original value of the property by the fifth refers to:

(A) marketable securities for the purchase price and related expenses paid according to regulations when buying;

(B) buildings, the construction expenses or purchase price, and other related expenses;

(C) land to acquire land by the amount to be paid, land development expenses and other related expenses;

(D) machinery, equipment, travel, purchase price, freight, installation expenses and other related expenses;

(E) other property, the above method to determine.

Taxpayer fails to provide complete and accurate proof of the original value of the property and is unable to correctly calculate the original value of the property, approved by the competent tax authorities where the original value of the property.

20th tax law said in the sixth paragraph the fifth at reasonable cost refers to the selling of property in accordance with the provisions to pay costs.

21st tax law article sixth fourth, sixth and said every time, determined in accordance with the following method:

(A) income from remuneration, which belongs to the disposable income, in order to obtain the income as a belonging to the same project continuity of income and revenue within a month at a time.

(B) remuneration received, revenue with each publication, published at a time.

(C) the royalty income, based on a concession made in the licensing income for once.

(D) the lease of property, and revenue within a month at a time.

(V) interest, dividends, dividend income to pay interest, dividends and extra dividends income earned for one.

(Vi) contingent income, based on each time you get the income at a time.

22nd income from transfer of property, in accordance with a transfer of property revenues less the original value of the property and reasonable fee, balance, calculate the tax.

23rd where two or more individuals acquire the same item of income, should be on everyone's income in accordance with the tax deduction for expenses is calculated after tax, respectively.

24th tax law mentioned in the second paragraph of article sixth personal income for the education and other charitable donations, refers to their territory of China through social groups, government agencies to educational and other public welfare donations and severe natural disasters and poor areas.

Donation amount does not exceed the taxpayer to declare taxable income of 30% part can be deducted from its taxable income.

25th article in accordance with State regulations, units for individuals and individuals pay the basic old-age insurance, basic medical insurance, unemployment insurance and housing accumulation Fund, should be deducted from the taxable income of the taxpayer.

26th article sixth of tax law mentioned in the third paragraph of section outside China wages and salaries refers to outside China posts or employment and wage and salary income gained.

27th tax law mentioned in the third paragraph of article sixth additional deductions for expenses, cost refers to the monthly deduction for 2000 on the basis of, deduct the cost of article 29th of this Ordinance the amount.

28th tax law sixth article said the additional deduction for expenses coverage refers to:

(A) within the territory of China enterprises with foreign investment and foreign personnel working in foreign enterprises;

(B) candidates in China's enterprises, institutions, social organizations, foreign experts working in the State;

(C) are domiciled within the territory of China and outside China service or employed wage and salary income gained by individuals;

(D) other persons determined fiscal and tax departments under the State Council.

29th tax law sixth article mentioned in the third paragraph of the additional standard deduction for expenses for 2800 Yuan.

30th by overseas Chinese, and Hong Kong, Macao and Taiwan compatriots, present regulations 27th, 28th and 29th of provisions.

31st are domiciled within the territory of China, or individuals without residence and resided in the territory for a year, income derived from within and outside China, and should calculate the tax payable.

32nd tax law article seventh said have paid personal income tax refers to the taxpayer income derived from sources outside China, proceeds in accordance with the country of origin or local laws should be paid and actually paid taxes.

33rd article tax seventh article by said of in accordance with tax provides calculation of should tax amount, is refers to tax obligations people from China outside made of proceeds, difference different national or area and different proceeds project, in accordance with tax provides of costs there standard and applies tax calculation of should tax amount; same national or area within different proceeds project of should tax amount of and, for the national or area of deduction limit. Tax obligations people in China outside a national or area actual has paid of personal income tax tax, below in accordance with Qian paragraph provides calculation out of the national or area deduction limit of, should in China paid difference part of tax; over the national or area deduction limit of, its over part shall not in this tax annual of should tax amount in the deduction, but can in yihou tax annual of the national or area deduction limit of balance in the fill buckle.

Fill the time limit for deduction shall not exceed five years.

Article 34th taxpayers pursuant to tax law article seventh personal income tax deduction for foreign tax under tax, should provide the original tax authority issues payment receipts.

35th withholding at the time of paying taxable payments to individuals, should be in accordance with the provisions of the tax law withholding tax paid on time, and keep special records for future reference.

Mentioned in the preceding paragraph to pay, including cash payments, transfer payments, transfer payments and securities, and other forms of payment in kind.

Article 36th taxpayer has any of the following circumstances shall be to the competent tax authorities for tax returns in accordance with regulations:

(A) the annual income of more than 120,000 yuan;

(B) two from China or wage and salary income gained by two or more;

(C) derived from sources outside China;

(D) obtain taxable income without withholding;

(E) other circumstances as stipulated by the State Council.

Annual income of more than 120,000 yuan taxpayer, within 3 months after the end of the year to the competent tax authorities for tax returns.

Taxpayers who file tax returns management and other related matters, formulated by the competent tax departments under the State Council.

37th said tax law article eighth full deduction of the full declaration refers to withholding withholding taxes within the next month, submit to the competent tax authorities of its proceeds to pay personal basic information, payment of income amount, total amount and withholding taxes and other tax-related information.

Full full declare management approach formulated by the competent tax departments under the State Council.

Article 38th self-reported taxpayer, at tax time, taxes that have been withheld in the Chinese territory, granted in accordance with the provisions deducted from tax payable. 39th taxpayers and a tax set out in article two or more gains, according to the respectively calculated tax.

China tax in the territory of two or more than two article, second or third income, combined with income tax.

40th Nineth tax law mentioned in the second paragraph of article specific industry refers to mining, ocean shipping, deep-sea fishing industry, as well as other industries identified fiscal and tax departments under the State Council.

41st article tax Nineth article second paragraph by said of by years calculation, and points months pre paid of meter levy way, is refers to this Ordinance 40th article by column of specific industry workers of wage, and salary proceeds should na of tax, by months pre paid, since annual ended of day up 30th within, total its annual wage, and salary proceeds, again by 12 months average and calculation actual should na of tax, more back less fill.

42nd tax law Nineth article mentioned in the fourth paragraph by the taxpayer in the 30th after the end of the year the tax payable to the State Treasury, refers to the end of time the contract management or leasing operations of the taxpayer, from the date of income tax payable to the State Treasury in the 30th. Article 43rd article tenth of the tax law provides that income in foreign currency, shall issue tax payment receipt of the last day of the previous month the Yuan parity rate, tax amount shall be converted into renminbi.

In accordance with the provisions of the tax law of settlement after the end of the year, already by month or by withholding tax proceeds in foreign currency, are no longer converted again; should pay the income tax, last day of the preceding tax year the Yuan parity rate, tax amount shall be converted into renminbi. 44th the tax authorities in accordance with tax law article 11th paid withholding commissions shall on a monthly basis to fill open return the books to the withholding of income.

Withholding revenue refunded to the designated bank for the return procedures.

Article 45th personal income tax returns, withholding personal income tax report form and individual income tax payment voucher model, formulated by the competent tax departments under the State Council.

46th said tax year by the tax law and these regulations, since the Gregorian calendar from January 1 to December 31.

47th the 1994 tax year, individual income tax calculated in accordance with the provisions of the tax law and these regulations impose. 48th article of the regulations as of the date of promulgation. August 8, 1987 issued by the State Council of the People's Republic of China expatriates on China at the State Department with regard to wages and salaries to reduce personal income tax regulations repealed simultaneously.

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