Personal income tax is to be levied on the individuals who have residence in China or have no residence in China but have lived in China for more than one year, as well as the individuals who have no residence and do not live in China or have no residence in China but live in China for less than a year.
Personal Income Tax Rate
| |
Dutiable Items |
Standard of Deducted Amount |
Tax Rate |
Remarks |
| 1 |
Wages or Salary |
RMB Yuan800 for Chinese Citizens and RMB Yuan4000 for Foreigners |
5%~45% (see the attached tax rate chart I) |
An additional RMB Yuan 700 can be deducted for Chinese citizens |
| 2 |
Production and operation income of individually-owned industry & commerce |
Cost, Expenses and Loss |
5%~35% |
|
| 3 |
Contracting and leasing income of the enterprises and institutions |
RMB Yuan 800 for each month; i.e. 800 *12 for a year |
5%~35% |
|
| 4 |
Labor income |
The deducted amount shall be RMB Yuan 800 if the labor income is less than RMB Yuan 4000 each time, and 20% of the total if the income exceeds RMB Yuan 4000. |
20% |
An extraordinary high one-time income is subject to an additional levy: if the taxable income exceeds RMB Yuan 20000 but less than RMB Yuan 50000, the amount exceeding RMB Yuan 20000 shall be calculated as 150% for tax levy; if the taxable income exceeds RMB Yuan 50000, the exceeding amount shall be calculated as 200% for tax. |
| 5 |
Interest, dividends, bonus |
|
20% |
|
| 6 |
Author's remuneration |
Same as Item 4 |
|
|
| 7 |
For the use of chartered rights |
Same as Item 4 |
20% |
|
| 8 |
Income from property leasing |
Same as Item 4 |
20% |
|
| 9 |
Income from property transfer |
The deducted amount shall be the deduction of property original value and reasonable expenses from the income of the transfer of property |
20% |
|
| 10 |
Occasional income |
|
20% (It is tax-exempted if the amount is less than RMB Yuan 200. For social welfare or sport lottery income, the amount less than RMB Yuan 10000 is tax-free and when over RMB Yuan 10000, it shall be levied at full amount.) |
|
| 11 |
Other income as specified by the State Council or the Ministry of Finance |
|
20% |
|
List of Tax Rates (Applicable to the income of salary and wages)
| Grade |
Tax Grade (RMB Yuan) |
Tax Rate % |
Deduction factor of fast calculation |
| 1 |
500 or less |
5 |
0 |
| 2 |
500 ~ 2,000 |
10 |
25 |
| 3 |
2,000 ~ 5,000 |
15 |
125 |
| 4 |
5,000 ~ 20,000 |
20 |
375 |
| 5 |
20,000 ~ 40,000 |
25 |
1375 |
| 6 |
40,000 ~ 60,000 |
30 |
3375 |
| 7 |
60,000 ~ 80,000 |
35 |
6375 |
| 8 |
80,000 ~ 10,0000 |
40 |
10375 |
| 9 |
Over 100,000 |
45 |
15375 |
|
Remark: Tax grade listed in the table refers to the income after the deducted amount.
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