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Does temporary worker's salary belong to salary or service reward?The General Administration has answered 68 questions!Print it out and paste it to check at any time

2021-02-26

1. If the unit recruits temporary workers, is the payment based on wages and salaries or withholding individual income tax according to service remuneration?



Answer from the State Administration of Taxation: according to the document No. 089 [1994] issued by the State Administration of Taxation, the income from wages and salaries is a kind of non independent personal service activity, that is, the remuneration obtained by holding a post or being employed in organs, organizations, schools, troops, enterprises and institutions and other organizations;The main difference between the two is that the former has the relationship between employment and being employed, while the latter does not.


If there is an employment relationship between temporary workers and the unit, they shall be declared and taxed according to the wage and salary income; if there is no employment relationship between temporary workers and the unit, they shall be declared and taxed according to the income from labor remuneration.

 


2. How to pay individual income tax when enterprises present gifts to individuals other than their own units?



State Administration of Taxation: according to the announcement of the Ministry of Finance and the State Administration of Taxation on the application of individual income tax taxable income items to personal income (Announcement No. 74 of the State Administration of Taxation of the Ministry of Finance), from January 1, 2019, enterprises will give gifts (including network red packets, the same below) to individuals outside their own units in business publicity and advertising activities,As well as gifts given by enterprises to individuals other than their own units in annual meetings, symposiums, celebrations and other activities, personal income tax shall be calculated and paid according to the item of "accidental income", except for the gifts such as consumption coupons, vouchers, coupons, coupons with price discount or discount nature.

The taxable income of the gift income mentioned in the preceding paragraph shall be calculated in accordance with Article 3 of the notice of the Ministry of Finance and the State Administration of Taxation on personal income tax issues related to gifts presented by enterprises for promotion and Exhibition (CS [2011] No. 50).

 


3. After the sole proprietorship enterprise reports the operating income, will the remaining profits be transferred to the investor's account to pay individual income tax?



Reply of the State Administration of Taxation: according to Article 5 of the notice of the Ministry of Finance and the State Administration of Taxation on printing and distributing the provisions on the collection of individual income tax by investors of sole proprietorship enterprises and partnership enterprises (CS [2000] No. 91), investors of sole proprietorship enterprises shall take all income from production and operation as taxable income;The amount of taxable income shall be determined by the investors of the partnership in accordance with the total income from production and operation of the partnership and the distribution proportion stipulated in the partnership agreement. If the distribution proportion is not stipulated in the partnership agreement, the taxable income of each investor shall be calculated on the basis of the total income from production and operation and the number of partners.

The term "income from production and operation" as mentioned in the preceding paragraph includes the income distributed by the enterprise to individual investors and the income (profit) retained by the enterprise in the current year.Individual proprietorship enterprises and partnership enterprises shall, in accordance with the above policies, declare and pay individual income tax on business income, distribute the profits to investors and no longer pay individual income tax.

 


4. Is it necessary to pay individual income tax for the transfer of equity between relatives?



Answer from the State Administration of Taxation: whether the transfer of equity between relatives is taxed or not needs to be differentiated.According to the provisions of Article 13 of the announcement of the State Administration of Taxation on Issuing the administrative measures for individual income tax on income from equity transfer (for Trial Implementation) (announcement of the State Administration of Taxation, No. 67, 2014), individual income tax shall not be levied if the equity transfer meets the following conditions: inheriting or transferring the equity to the spouse who can provide the proof of identity with legal effectParents, children, grandparents, grandparents, grandchildren, grandchildren, brothers and sisters, and the caregivers or supporters who bear the direct obligation to support or support the assignor.In addition to the above circumstances, if the transfer income declared by relatives is obviously low and there is no legitimate reason, the tax authorities can verify the transfer income and levy individual income tax.



5. What are the methods for the tax authorities to approve the income from individual equity transfer?


State Administration of Taxation: according to Article 14 of the announcement of the State Administration of Taxation on Issuing the administrative measures for individual income tax on income from equity transfer (for Trial Implementation) (Announcement No. 67 of 2014 of the State Administration of Taxation), the competent tax authorities shall check and approve the income from share right transfer in accordance with the following methods in turn:


(1) Net assets verification method


The income from equity transfer shall be determined according to the net assets per share or the share of net assets corresponding to equity.


If the proportion of the invested enterprise's assets such as land use right, house, unsold real estate, intellectual property, prospecting right, mining right and equity of the invested enterprise accounts for more than 20% of the total assets of the enterprise, the competent tax authorities may check and approve the equity transfer income with reference to the asset evaluation report issued by the intermediary agency with legal qualification provided by the taxpayer.


If the equity transfer occurs again within 6 months and the net assets of the invested enterprise have not changed significantly, the competent tax authorities may check and approve the income from the equity transfer by referring to the assets evaluation report of the invested enterprise at the time of the last equity transfer.


(2) Analogy


1. Check and approve the income from equity transfer of the same shareholder or other shareholders of the same enterprise under the same or similar conditions;


2. The income from equity transfer of enterprises in the same industry under the same or similar conditions shall be checked and approved.


(3) Other reasonable methods



If it is difficult for the competent tax authorities to verify the income from equity transfer by the above methods, other reasonable methods may be adopted.




6. Does the company pay individual income tax for reimbursement of aviation accident insurance purchased with air tickets?



State Administration of Taxation: according to the regulations on the implementation of the individual income tax law of the people's Republic of China (state order No. 707), wage and salary income refers to the wages, salaries, bonus, year-end salary increase, labor bonus, allowance, subsidy and other income related to the post or employment obtained by an individual due to his post or employment.Therefore, according to the relevant national standards, the actual aviation accident insurance expenses reimbursed by the enterprise with the insurance premium invoice obtained by the travel personnel are not included in the individual income, and do not involve the payment of individual income tax.

 


7. How to pay individual income tax on the pension income of individual tax deferred commercial endowment insurance?



Reply of the State Administration of Taxation: the announcement of the State Administration of Taxation of the Ministry of Finance on the application of individual income tax taxable income items to the relevant income obtained by individuals (Announcement No. 74 in 2019 of the State Administration of Taxation of the Ministry of Finance) stipulates that "4Notice of the Ministry of finance, the State Administration of Taxation, the Ministry of human resources and social security, the China Banking and Insurance Regulatory Commission on the pilot project of individual tax deferred commercial endowment insurance (CS [2018] No. 22)25% of the pension income of the tax deferred commercial endowment insurance shall be exempted from tax, and the remaining 75% shall be calculated and paid with individual income tax at the rate of 10%. The tax shall be included in the item of "wage and salary income". After being withheld and remitted by the insurance institution, the declaration of full withholding shall be made at the place where the individual purchases the tax deferred endowment insuranceThis announcement shall be implemented as of January 1, 2019. "

 


8. How does the taxpayer issue the individual income tax payment record?


Reply of the State Administration of Taxation: Notice of the State Administration of Taxation on the adjustment of personal income tax payment certificate (document type) to tax payment record (Announcement No. 55 of 2018 of the State Administration of Taxation): "III. taxpayers can apply to issue their own personal income tax" tax records "through electronic tax bureau and mobile appYou can also apply for it in the tax service hall.


4、 Taxpayers may entrust others to issue individual income tax payment records at the tax service office with the following certificates and materials:


(1) The original of the valid identity card of the client and the trustee;



(2) Written authorization by the principal. "

 


9. In order to promote the brand and carry out premium activities, do customers need to pay personal income tax?



Reply of the State Administration of Taxation: Article 3 of the announcement of the State Administration of Taxation of the Ministry of Finance on the application of individual income tax taxable income items to individuals who have obtained relevant income (Announcement No. 74 of the State Administration of Taxation of the Ministry of Finance) stipulates that in business publicity, advertising and other activities, enterprises will give gifts (including network red packets, the same below) to individuals other than their own units, and that enterprises shall give gifts (including network red packets, the same below) to individuals other than their own units in business publicity and advertising activities, as well as the annual meetings, symposiumsGifts are given to individuals other than the unit in celebration and other activities. Personal income tax shall be calculated and paid according to the item of "accidental income".

 


10. How to query individual income tax declaration and payment records?


From November 1, 2019, the query function of individual income tax declaration record will be officially launched on the website of natural person tax management system (hereinafter referred to as "natural person tax service platform"), and natural person taxpayers can query their own personal income tax declaration and payment records in 2019 and subsequent years.


1、 Inquiry channel


Access mode of natural person tax service platform:


(1) Enter web address:https://its.Provincial and municipal tax bureau website /, directly access.


(2) Click "natural person tax management system" through the website of local provincial and municipal tax bureaus.


(3) Through the "login" interface of e-tax bureaus of all provinces and cities, click and select the "personal income tax" button under "real name login" to enter.



After logging in, you can use the query of declaration record and the query of income and tax details through the individual tax information query on the home page of the natural person tax service platform.

 


11. Is it necessary to pay individual income tax for employees' welfare accrued in cash or in other forms?


Anhui tax answer: the following income does not belong to the scope of tax-free welfare, should be incorporated into the taxpayer's wages and Salaries Income for individual income tax calculation:


1. Various subsidies and subsidies paid to individuals from welfare expenses and trade union funds that exceed the proportion or base set by the state;


2. Subsidies and subsidies paid to employees of their own units from welfare and trade union funds;


3. The unit purchases cars, houses, computers and other expenditures not belonging to the nature of temporary living difficulties subsidies for individuals. "



Document basis: Notice of the State Administration of Taxation on the determination of the scope of living allowance (GSF [1998] No. 155)

 


12. Is it possible to defer individual income tax by investing in technical achievements?


Anhui tax answer: if an enterprise or an individual invests in a domestic resident enterprise with technological achievements and the consideration paid by the invested enterprise is all stock (right), the enterprise or individual can choose to continue to implement the current relevant tax policies, or choose to apply the preferential policy of deferred tax payment.For those who choose the deferred tax policy of investment in technological achievements as shares, after filing with the competent tax authorities, tax payment can be temporarily suspended in the current period when the investment is invested into shares. When the equity is allowed to be deferred, the income tax shall be calculated and paid according to the difference between the original value of the technological achievements and reasonable taxes and fees from the equity transfer income.Technical achievements refer to patented technologies (including national defense patents), computer software copyright, exclusive rights of layout design of integrated circuits, rights of new plant varieties, new varieties of biomedicine, and other technical achievements determined by the Ministry of science and technology, the Ministry of Finance and the State Administration of taxation.


The investment of technological achievements into shares refers to the act of transferring the ownership of technological achievements to the invested enterprise and obtaining the shares (rights) of the enterprise.



Document basis: Notice of the Ministry of Finance and the State Administration of Taxation on improving the income tax policies related to equity incentive and technology investment (CS [2016] No. 101)

 


13. Is the house donation between brothers and sisters exempt from individual income tax?


Anhui tax answer: if the house property owner donates the house property right to others free of charge, the recipient shall pay individual income tax according to the "accidental income" item for the donated income obtained from the donated house.According to the first article of the notice of the Ministry of Finance and the State Administration of Taxation on the personal income tax related to the houses donated by individuals without compensation (CS [2009] No. 78), if the following circumstances are met, no individual income tax shall be levied on both parties:


(1) The owner of the house property gives the property right to his / her spouse, parents, children, grandparents, grandchildren, grandchildren, brothers and sisters free of charge;


(2) The owner of the house property right donates the property right of the house free of charge to the supporter or supporter who bears the obligation of direct support or support;


(3) The legal successor, testamentary successor or bequest who obtains the property right of the house in accordance with the law when the owner of the property right of the house dies.


The taxable income of the donated income mentioned in the preceding paragraph shall be calculated in accordance with the provisions of Article 4 of the notice of the Ministry of Finance and the State Administration of Taxation on individual income tax issues related to individual donated houses without compensation (CS [2009] No. 78).



Document basis: announcement of the State Administration of Taxation of the Ministry of Finance on the application of individual income tax taxable income items to the relevant income obtained by individuals (Announcement No. 74 of the State Administration of Taxation of the Ministry of Finance in 2019)

 


14. The income obtained from the transfer of one's own use house for more than five years and which is the only one for family living shall be exempted from individual income tax. Does the only living house of a family here refer to the same province?


Anhui tax answer: "the only living room for a family" means that the taxpayer (who has a spouse is both husband and wife) owns only one house in the same province, autonomous region or municipality directly under the central government.



Document basis: Notice of the State Administration of Taxation on issues concerning tax collection and administration of personal housing transfer (GSF [2007] No. 33)

 


15. Does the one-child subsidy paid to employees need to pay individual income tax?


Anhui tax answer: the following does not belong to salary, salary nature subsidy, allowance or does not belong to taxpayer's own wages, salary income item income, does not tax: only child subsidy.



Document basis: Notice of the State Administration of Taxation on printing and distributing the provisions on Several Issues concerning the collection of individual income tax (GSF [1994] No. 89)

 


16. Is it necessary to pay individual income tax for one-time disability allowance?


Answer: the industrial injury insurance benefits obtained by industrial injury workers and their close relatives in accordance with the regulations on industrial injury insurance (Order No. 586 of the State Council) are exempted from individual income tax.


The industrial injury insurance benefits mentioned in Article 1 of this Circular include the one-time disability subsidy, disability allowance, one-time medical subsidy for work-related injury, one-time disability employment subsidy, medical treatment treatment treatment for industrial injury, in-hospital food subsidy, transportation and accommodation expenses for medical treatment in other places, work-related injury rehabilitation expenses, etcThe cost of auxiliary equipment, living and nursing expenses, as well as the funeral subsidies, pension for supporting relatives and one-time work-related death subsidies obtained by their close relatives in accordance with the regulations on work related injury insurance (Order No. 586 of the State Council).



Document basis: Notice of the Ministry of Finance and the State Administration of Taxation on the personal income tax policies related to industrial injury insurance benefits obtained by industrial injury workers (CS [2012] No. 40)

 


17. The annual lump sum bonus paid by the taxpayer has been taxed separately according to the annual lump sum bonus. Can the final settlement be adjusted to be included in the comprehensive income tax?


Anhui tax answer: during the period from January 1, 2019 to December 31, 2021, individuals can choose not to be included in the current year's comprehensive income and be taxed separately.When calculating the tax, the first step is to find the applicable tax rate (monthly tax rate) and the quick calculation deduction according to the quotient of annual lump sum bonus divided by 12 and the monthly tax rate table of comprehensive income.The second step is to multiply the full amount of the annual one-time bonus income by the applicable tax rate, and subtract the corresponding quick calculation deduction, which is the taxable amount.Individuals can also choose not to enjoy the annual one-time bonus policy and incorporate the annual one-time bonus into the comprehensive income tax.


If an individual obtains the annual one-time bonus and has been taxed separately according to the annual one-time bonus policy, he / she may re select whether to apply the one-time bonus policy for the whole year at the time of final settlement.



Document basis: Notice of the Ministry of Finance and the State Administration of Taxation on the convergence of preferential policies after the amendment of the individual income tax law (CS [2018] No. 164)

 


18. If a taxpayer holds a post in two units in one year, it is necessary to handle the final settlement. How to handle it?


Anhui tax answer: taxpayers who need to make final settlement and payment shall, within March 1 to June 30 of the next year in which they obtain their income, file tax returns with the competent tax authorities of the place where they work or are employed, and submit the annual individual income tax return form.If a taxpayer has two or more posts or employment units, he / she shall choose to file a tax return with the local competent tax authority where one of the units is located.



Document basis: announcement of the State Administration of Taxation on issues related to self declaration of individual income tax (Announcement No. 62 of 2018 of State Administration of Taxation)

 


19. How to pay individual income tax for the new listed company's restricted shares after the transfer of technology and system preparation of securities institutions by individuals?


Anhui tax answer: after the completion of the technical and institutional preparation of securities institutions, the individual income tax that taxpayers should pay when transferring the restricted shares of newly listed companies will be collected through direct withholding and payment by securities institutions.


After the technical and institutional preparation of the securities institution is completed, the securities institution shall calculate and directly deduct the individual income tax according to the actual transfer income of the restricted shares, minus the original cost value of the restricted shares embedded in the settlement system in advance, and the reasonable taxes and fees incurred during the transfer.


A securities institution shall pay the individual income tax withheld each month to the state treasury within 7 days of the next month, and submit to the local competent tax authority the "report on withholding individual income tax on income from transfer of restricted shares" and other materials required by the tax authorities.The individual income tax from the transfer of restricted shares shall be paid by the holder of the restricted shares as the taxpayer, and the securities institution with the account opened by the individual shareholder as the withholding agent.Personal income tax on restricted shares shall be collected and managed by the local competent tax authorities where the securities institutions are located.



Document basis: Notice of the Ministry of finance, State Administration of Taxation and China Securities Regulatory Commission on issues related to the collection of individual income tax on the income from the transfer of restricted shares of listed companies (CS [2009] No. 167), and notice of the State Administration of Taxation on the management of individual income tax on the income from the transfer of restricted shares (GSF [2010] No. 8)

 


20. What are the requirements for retired and re employed personnel?


Anhui tax bureau answers: "retirees re employment" should meet the following conditions at the same time:


1、 The employee has signed a labor contract (agreement) with the employer for more than one year (including one year), and there is a long-term or continuous relationship between employment and being employed;


2、 If the employee is unable to attend work normally due to personal leave, sick leave, leave and other reasons, he / she still enjoys fixed or basic salary income;


3、 Employees enjoy the same welfare, training and other benefits as other regular employees of the unit;


4、 The employer shall be responsible for the organization of the post promotion and professional title evaluation of the employees.



Document basis: Reply of the State Administration of Taxation on the definition of re employment of retirees (GSH [2006] No. 526)

 

Personal tax 21-40

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21. Does the enterprise need to pay individual income tax on behalf of employees when they give them hardship subsidies?


Fujian taxation a: 1. According to Article 4 of the individual income tax law of the people's Republic of China, individual income tax shall be exempted for the following items of individual income:


……


(4) Welfare, pension and relief fund;


……”


2、 According to Article 11 of the regulations for the implementation of the individual income tax law of the people's Republic of China (Decree No. 707 of the people's Republic of China), it is stipulated that:"The welfare expenses mentioned in Item 4 of the first paragraph of Article 4 of the individual income tax law refers to the living subsidies paid to individuals from the welfare funds or trade union funds retained by enterprises, institutions, state organs and social organizations in accordance with the relevant provisions of the state; the term" relief funds "refers to the living difficulties subsidies paid to individuals by civil affairs departments of people's governments at all levels."



Therefore, the difficulty subsidies paid by enterprises to employees do not belong to the tax-free income stipulated in the above-mentioned documents, and should be included in the wage and salary income and pay individual income tax.

 


22. How to pay individual income tax when a natural person transfers trademark ownership?


Fujian taxation a: 1. According to the fourth paragraph of Article 6 of the regulations on the implementation of the individual income tax law of the people's Republic of China (Order No. 707 of the people's Republic of China)"The term" income from royalties "refers to the income derived by individuals from the provision of the right to use patents, trademarks, copyrights, non patented technologies and other franchises; income from the provision of the right to use copyrights does not include remuneration for contributions."


2、 According to Article 8 of the announcement of the State Administration of Taxation on the promulgation of the administrative measures for withholding and declaration of individual income tax (for Trial Implementation) (Announcement No. 61 of the State Administration of Taxation in 2018), "when the withholding agent pays the income of service remuneration, manuscript remuneration and royalties to individual residents, the withholding agent shall withholding the advance tax on a per time or monthly basis according to the following methods:


For income from remuneration for labor services, remuneration for authors and royalties, the amount of income shall be the balance of income after deducting expenses;Among them, the income from author's remuneration is calculated by 70%.


Deduction of expenses: when withholding taxes, if the income from remuneration for labor services, remuneration for authors and royalties does not exceed 4000 yuan each time, the expenses deducted shall be calculated at 800 yuan;If the income is more than 4000 yuan each time, the expenses shall be deducted according to 20% of the income.


Taxable income: income from remuneration for services, remuneration for authors and royalties. The amount of tax to be withheld and prepaid shall be calculated based on the amount of each income.Personal income tax withholding rate table 2 (see Annex) is applicable to the income from remuneration for labor services, and the proportional withholding rate of 20% is applicable to the income from manuscript remuneration and royalties.


When individual residents handle the final settlement and payment of their annual comprehensive income, they shall calculate the income from remuneration for labor, remuneration for contributions and royalties according to law, and incorporate them into the annual comprehensive income to calculate the tax payable, and the excess tax shall be refunded and the deficiency shall be made up. "



Therefore, the transfer of trademark ownership by a natural person belongs to the income from royalties. The amount of tax should be calculated according to the balance of the income after deducting the expenses from the income, and the tax amount should be calculated according to the proportion of 20%.When handling the final settlement and payment of the annual comprehensive income, the income from remuneration for labor, remuneration for contributions and royalties shall be calculated in accordance with the law, and shall be incorporated into the annual comprehensive income to calculate the tax payable, and the excess tax shall be refunded and the deficiency shall be made up.

 


23. Do enterprises need to pay individual income tax for marriage allowance paid to employees?


Fujian taxation a: according to Article 6 of the regulations on the implementation of the individual income tax law of the people's Republic of China (Decree No. 707), "the scope of individual income stipulated in the individual income tax law is as follows:


(1) The term "income from wages and salaries" refers to the wages, salaries, bonus, year-end salary increase, labor bonus, allowance, subsidy and other income related to the post or employment of an individual.


……”



Therefore, the individual income tax should be withheld and paid according to the salary income.

 


24. Does a sole proprietorship enterprise need to pay individual income tax according to the operating income when it obtains the government's demolition compensation?


Fujian tax answer: the first article of the notice of the Ministry of Finance and the State Administration of Taxation on the tax policies related to urban housing demolition (CS [2005] No. 45) stipulates that individual income tax shall be exempted for the demolition compensation obtained by the demolished in accordance with the standards stipulated in the relevant national administrative measures for urban housing demolition.



If a sole proprietorship enterprise obtains the government's compensation for demolition and relocation, it shall be exempted from individual income tax if it meets the above provisions;If it does not comply with the above provisions, it shall be incorporated into the business income and pay individual income tax.

 


25. Is it necessary to issue an assessment report when paying individual income tax for transferring equity?


Fujian Taxation Bureau: according to the announcement of the State Administration of Taxation on Issuing the measures for the administration of individual income tax on income from equity transfer (for Trial Implementation) (State Administration of Taxation Announcement No. 67, 2014), the competent tax authorities shall check and approve the income from equity transfer in accordance with the following methods in turn:


(1) Net assets verification method


The income from equity transfer shall be determined according to the net assets per share or the share of net assets corresponding to equity.


If the proportion of the invested enterprise's assets such as land use right, house, unsold real estate, intellectual property, prospecting right, mining right and equity of the invested enterprise accounts for more than 20% of the total assets of the enterprise, the competent tax authorities may check and approve the equity transfer income with reference to the asset evaluation report issued by the intermediary agency with legal qualification provided by the taxpayer.


If the equity transfer occurs again within 6 months and the net assets of the invested enterprise have not changed significantly, the competent tax authorities may check and approve the income from the equity transfer by referring to the assets evaluation report of the invested enterprise at the time of the last equity transfer.


……


Article 21 A taxpayer or withholding agent shall also submit the following information to the competent tax authorities when filing a tax return (withholding) for equity transfer:


(1) Equity transfer contract (agreement); and;


(2) Identification certificate of both parties of equity transfer;


(3) If assets evaluation is required according to regulations, the appraisal report on net assets or land and real estate value issued by an intermediary with legal qualification shall be provided;


(4) The evidence that the tax basis is obviously low but there are justifiable reasons;


(5) Other materials required by the competent tax authorities. "


Therefore, if the competent tax authorities use the net assets verification method to verify the net assets per share or the share of net assets corresponding to equity, the income from equity transfer can be determined by referring to the asset evaluation report issued by the intermediary with legal qualification provided by the taxpayer.


26. How to pay individual income tax when a natural person provides services to issue invoices on behalf of others?


Fujian taxation department: according to the announcement of the State Administration of Taxation on the promulgation of the measures for the administration of withholding and declaration of individual income tax (for Trial Implementation), "Article 8 when a withholding agent pays income from remuneration for services, remuneration for manuscripts, or royalties to an individual resident, the withholding agent shall, in accordance with the corresponding method, withholding the advance tax on a per time or monthly basis.


Article 9. When a withholding agent pays wages and salaries, remuneration for labor services, remuneration for contributions and royalties to non residents, the withholding agent shall, in accordance with the corresponding methods, withhold and remit the tax on a monthly or per occasion basis. "



Therefore, if a natural person applies for issuing invoices on behalf of others, and the taxable income items belong to the income from remuneration for labor, remuneration for contributions and royalties, the individual income tax shall not be paid in advance at the time of invoice issuing. The withholding agent shall perform the withholding and advance payment in accordance with the provisions and handle the full withholding declaration for all employees. If the withholding agent fails to perform the withholding and prepayment obligations as required, the taxpayer shallAnnouncement of the State Administration of Taxation on issues related to self declaration of individual income tax (No. 62 of 2018) provides for self declaration.

 


27. How to declare the individual income tax when the construction and installation enterprise works through the labor dispatch company?


Fujian taxation department: according to the notice of the State Administration of Taxation on the collection and management of personal income tax of construction and installation industry cross provincial and non local engineering operators (Announcement No. 52 of 2015 of the State Administration of Taxation), it is stipulated that:"1. The personal income tax on wages and salaries of management personnel, technical personnel and other staff members of general contracting enterprises and sub contracting enterprises dispatched to cross provincial and non local engineering projects shall be withheld and paid by the general contracting enterprises and sub contracting enterprises in accordance with the law, and shall be declared and paid to the local tax authorities where the project is located.


The personal income tax on wages and salaries obtained by general contracting enterprises and sub contracting enterprises through labor dispatch companies during the period of trans provincial and non local work shall be withheld and paid by the labor dispatch company in accordance with the law, and shall be declared and paid to the local tax authorities where the project is located.


2、 The construction unit across provinces and other places shall apply to the local tax authority where the project operation is located for the detailed declaration of full withholding of all employees for the income from wages and salaries paid by them.Where the detailed declaration is fully withheld by all employees, the tax authorities at the place where the project is carried out shall not check and collect individual income tax.“



Therefore, if the construction and installation enterprise works in different places through the labor dispatch company, the personal income tax shall be withheld and paid by the labor dispatch company and reported to the local tax authority where the project is located.

 


28. Do overseas individuals need to pay individual income tax when they receive dividends from domestic enterprises?


Fujian taxation reply: announcement of the Ministry of Finance and the State Administration of Taxation on individual income tax policies for non resident individuals and non resident individuals (Announcement No. 35, 2019 of the State Administration of Taxation of the Ministry of Finance): "I. sources of income


……


(2) Regulations on the source of several months' bonus and equity incentive income.


If the source of income from several months' bonus or equity incentive obtained by an individual without a domicile is determined in accordance with item (1) of this article, the part of the bonus or equity incentive income received by an individual without domicile when performing his or her duties in China shall be the salary income derived from abroad;The part of the bonus or equity incentive income received by an individual without a domicile for several months after he / she stops performing his / her duties in China or leaves the country shall be the income from wages and salaries derived from China.The specific calculation method is: multiple months of bonus or equity incentive multiplied by the ratio of working days in China and Gregorian calendar days in the working period to which the bonus or equity incentive belongs.


If the bonus or equity incentive for several months at home and abroad obtained by an individual without residence within one month includes multiple income attributable to different periods, the income from domestic sources in different attribution periods shall be calculated respectively in accordance with the provisions of this announcement, and then the amount of bonus or equity incentive income from domestic sources in the current month shall be calculated by adding up.


The term "several month bonus" as mentioned in this announcement refers to the salary and salary income, such as bonus, year-end salary increase and bonus, which belong to several months at a time. It does not include the monthly fixed bonus and the one-time salary of several months.The term "equity incentive" as mentioned in this announcement includes stock options, equity options, restricted stocks, stock appreciation rights, equity awards and other discounts or subsidies obtained from employers for subscribing for stocks and other securities.


……


3、 On the calculation of individual tax without residence


……


(2) Provisions on the calculation of non resident individual tax.


……


3. If a non resident obtains equity incentive income within one month, the income of the current month shall be calculated separately in accordance with Article 2 of this announcement, and shall not be combined with other wages and salaries of the current month, and shall be apportioned and taxed for six months (the equity incentive income in a Gregorian calendar year shall be calculated together), without deduction of expenses, and the tax payable shall be calculated according to the monthly tax rate table. The calculation formula is as follows (formula 6): 1


Taxable amount of equity incentive income in the current month = [(total amount of equity incentive income in the Gregorian calendar year ÷ 6)×Applicable tax rate - quick deduction]×6 - tax paid on equity incentive income in the current calendar year. "



Therefore, as a non resident, the individual income tax declaration shall be made according to the equity incentive income, and the individual income tax shall be withheld and paid by the paying income company.

 


29. If the partnership gains income from transferring the equity of the new third board and distributes it to natural person partners, should the partners pay individual income tax according to the income from production and operation or from dividends and dividends?


Fujian taxation department: according to the notice of the Ministry of Finance and the State Administration of Taxation on the income tax of partnership partners (CS [2008] No. 159), "the principle of" distribution before tax "shall be adopted for the production and operation income and other income of the partnership.


……


The term "income from production and operation and other income" as mentioned in the preceding paragraph includes income distributed by the partnership to all partners and the income (profit) retained by the enterprise in the current year. " 



Therefore, the income obtained from the transfer of equity of the new third board and then distributed to natural person partners should pay individual income tax according to the income from production and operation.

 


30. How to levy individual income tax on enterprise annuity?


Fujian taxation a: according to the notice of the Ministry of finance, human resources and social security, and the State Administration of Taxation on issues related to the individual income tax of enterprise annuity and occupational annuity (CS [2013] No. 103), "I. provisions on individual income tax treatment of enterprise annuity and occupational annuity payment:


1. Enterprises and institutions (hereinafter referred to as "units") shall, in accordance with the measures and standards stipulated by relevant national policies, pay the enterprise annuity or occupational annuity (hereinafter referred to as "annuity") paid by the enterprise or institution for all the employees in the unit, and the individual shall not pay individual income tax temporarily when it is included in the individual account.


2. The part of annuity personal contribution paid by an individual according to the relevant national policies and regulations, which does not exceed 4% of the tax base of his / her wage, shall be temporarily deducted from the current taxable income of the individual.


3. The part of annuity unit payment and individual payment in excess of the standard specified in Item 1 and item 2 of Article 1 of this Circular shall be incorporated into the current salary and salary income of the individual and be subject to individual income tax according to law.The tax shall be withheld and remitted by the unit establishing the annuity and reported to the competent tax authorities.


4. The tax base of individual payment salary of enterprise annuity is the average monthly wage of the previous year.The average monthly wage shall be calculated according to the items listed in the total wage statistics as stipulated by the National Bureau of statistics.If the average monthly wage exceeds 300% of the average monthly wage of the previous year in a city divided into districts where the employee works, it shall not be included in the tax base of individual payment wage.


The tax base of individual payment salary of occupational annuity is the sum of post wage and salary grade wage.The part of the sum of the post wage and salary level wage of an employee exceeding 300% of the average monthly wage of the employee in the city divided into districts in which the employee works shall not be included in the tax base of the individual contribution wage. "



Therefore, when the unit payment part is included in the individual account, the individual does not pay individual income tax temporarily.The part of individual payment that does not exceed 4% of the tax base of his / her wage payment shall be temporarily deducted from the current taxable income of the individual.

 


31. The school undertakes the examination of the examination center of the human resources and Social Security Bureau and the civil service bureau, and receives subsidies from the examination center.If the school grants subsidies to invigilator teachers, should they pay individual income tax according to salary or labor remuneration?


Fujian taxation department: according to the notice of the State Administration of Taxation on printing and distributing the provisions on Several Issues concerning the collection of individual income tax (GSF [1994] No. 89): "2. Taxation on income from wages and salaries


The first item of the first paragraph of Article 8 of the regulations clearly stipulates the specific contents and tax scope of income from wages and salaries, and taxes shall be levied in strict accordance with the provisions.As to whether some specific income items such as subsidies and allowances should be included in the scope of Taxation of wages and salaries, the following situations shall be followed:


(1) Article 13 of the Regulations stipulates that special government subsidies granted in accordance with the provisions of the State Council and subsidies and allowances exempted from individual income tax by the State Council shall be exempted from individual income tax.Other subsidies and allowances shall be included in the income items of wages and salaries.


……


Article 19 provides that:"The income from wages and salaries belongs to the non independent individual labor activities, that is, the remuneration obtained by holding posts and employment in organs, organizations, schools, troops, enterprises and institutions, and other organizations; while the income from remuneration for labor services refers to the remuneration obtained by individuals for engaging in various skills and providing various services independently. The main difference between the two is that the former has the relationship between employment and being employed, while the latter does notThere is such a relationship. "



Therefore, if the invigilation fee is paid by the school to the teacher in the form of salary, the personal income tax shall be paid according to the "salary income";If invigilation fee is paid by other units as labor remuneration, individual income tax shall be paid according to "income from labor remuneration".

 


32. Can individuals purchase commercial health insurance one-time deduction when declaring and paying individual income tax?


Fujian taxation department: according to the notice of the Ministry of Finance and the State Administration of Taxation on promoting the pilot policy of individual income tax on commercial health insurance to be implemented nationwide (CS [2017] No. 39), "1


For the individual's expenditure on purchasing commercial health insurance products that meet the requirements, it is allowed to deduct before tax when calculating the taxable income of the current year (month), with the deduction limit of 2400 yuan / year (200 yuan / month).The expenses of purchasing commercial health insurance products conforming to the regulations for employees by the unit shall be included in the personal wages and salaries of employees respectively, which shall be deemed as personal purchase and deducted according to the above limit.


The limit deduction of 2400 yuan / year (200 yuan / month) is the deduction in addition to the expense standard stipulated in the individual income tax law.


……


4、 On tax collection and management


(2) If an individual who obtains wages and salaries or continuous labor remuneration purchases commercial health insurance products that meet the requirements, he / she shall provide insurance policy certificate to the withholding agent in a timely manner.The withholding unit shall deduct from the next month after the individual submits the policy voucher within the standard of no more than 200 yuan / month. "



 Therefore, individuals who purchase commercial health insurance need to be deducted by the standard of 200 yuan / month.

 


33. Do non residents need to pay individual income tax when they get compensation for house demolition?



Fujian taxation department: according to the notice of the Ministry of Finance and the State Administration of Taxation on the tax policies related to urban housing demolition (CS [2005] No. 45), "I. the demolition compensation obtained by the demolished in accordance with the standards stipulated in the relevant national administrative measures for urban housing demolition shall be exempted from individual income tax."

Therefore, the compensation for demolition and relocation obtained by non resident individuals in accordance with the standards stipulated in the relevant national administrative measures for urban housing demolition shall be exempted from individual income tax.

 


34. When individuals purchase Vanke's real estate, they do not go through commercial banks, but directly borrow from Vanke Group. Can they enjoy the special additional deduction of housing loan interest expenses?


Fujian taxation a: according to Article 14 of the notice of the State Council on printing and distributing the Interim Measures for special additional deduction of individual income tax (GF [2018] No. 41), it is stipulated that:"If a taxpayer or his or her spouse alone or jointly uses a commercial bank or a housing provident fund individual housing loan to purchase a house in China for himself or his spouse, the interest expense of the first housing loan shall be deducted at the standard quota of 1000 yuan per month in the year in which the loan interest actually occurs, and the deduction period shall not exceed 240 months. The taxpayer can only enjoy the first housing loan onceHousing loan interest deduction.


The term "first set of housing loans" as mentioned in these Measures refers to the housing loans that enjoy the interest rate of the first set of housing loans when purchasing houses.



Therefore, individuals who borrow from Vanke Group instead of commercial banks or housing provident fund personal housing loans can not enjoy the special additional deduction of housing loan interest expenses.

 


35. Do farmers need to pay individual income tax for their own production and sale of agricultural products such as mushrooms and fungus?


Fujian taxation a: according to the notice of the State Administration of Taxation on the issues of individual income tax in the pilot areas of rural tax and fee reform (CS [2004] No. 30), it is stipulated that:"1. During the pilot period of rural tax and fee reform, the tax on special agricultural products shall be cancelled, and the tax on agricultural products shall be reduced or exempted. If individuals or self-employed households engage in planting, breeding, breeding and fishing, and the business items fall within the scope of agricultural tax (including agricultural specialty tax) and animal husbandry tax, individual income tax shall not be levied for the time being."



Therefore, the agricultural products such as mushrooms and fungus produced and sold by farmers belong to the scope of "four industries", and individual income tax is not levied temporarily.

 


36. When an enterprise withholds individual income tax for its employees, can it extend the endowment insurance without deducting the tax first, and then have an individual declare the deduction when the final settlement is made?


Fujian taxation a: according to the announcement of the State Administration of Taxation on the collection and management of the pilot project of individual tax deferred commercial endowment insurance (State Administration of Taxation Announcement No. 21, 2018): "(1) individuals who obtain salary income and continuous labor remuneration income


……


If an individual fails to provide tax deferred pension deduction certificate in time and causes no deduction in the past period, the withholding unit can make up to the deduction month, recalculate the tax to be withheld according to the provisions of the notice, and handle the deduction or apply for tax refund in the month when the deduction certificate is received.If the individual payment amount changes, fails to renew the insurance or withdraws the insurance, it shall timely inform the withholding agent to recalculate or terminate the tax, and extend the pre tax deduction of endowment insurance.Except for incomplete and untrue information provided by individuals, withholding units shall not refuse to apply for pre tax deduction for taxpayers. "



Therefore, when the enterprise withholds the individual income tax for the employee, it should deduct the tax to extend the endowment insurance in the month of receiving the certificate.

 


37. Is it possible to exempt individual income tax from the state's reward for scientific and technological personnel to obtain job-related scientific and technological achievements in cash?


Fujian taxation a: according to the notice of the Ministry of finance, the State Administration of Taxation, and the Ministry of science and technology of the Ministry of Finance on the personal income tax policies concerning cash rewards for the transformation of scientific and technological achievements by scientific and technological personnel (CS [2018] No. 58), "I. non profit research and development institutions and institutions of higher learning (hereinafter referred to as non-profit scientific research institutions and universities) are established in accordance with the lawAccording to the law of the people's Republic of China on promoting the transformation of scientific and technological achievements, the cash reward given to scientific and technological personnel from the income from the transformation of post scientific and technological achievements can be reduced by 50% into the "wage and salary income" of scientific and technological personnel in the current month, and the individual income tax shall be paid according to law.


........


5、 To enjoy the preferential tax policies stipulated in this circular, scientific and technological personnel shall meet the following conditions at the same time:


(1) Scientific and technological personnel refer to those who make important contributions to the completion or transformation of scientific and technological achievements in non-profit scientific research institutions and universities.Non profit scientific research institutions and colleges and universities shall publicize the list of relevant scientific and technological personnel and relevant information (except for the transformation of national defense patents). The specific publicity methods shall be formulated by the Ministry of science and technology, the Ministry of Finance and the State Administration of taxation.


(2) Scientific and technological achievements refer to patented technologies (including national defense patents), computer software copyrights, exclusive rights of layout design of integrated circuits, rights of new plant varieties, new varieties of biomedicine, and other technical achievements determined by the Ministry of science and technology, the Ministry of Finance and the State Administration of taxation.


(3) Transformation of scientific and technological achievements refers to the transfer of scientific and technological achievements by non-profit scientific research institutions and universities to others or to permit others to use them.Cash reward refers to the cash that non-profit scientific research institutions and colleges and universities give to scientific and technological personnel within three years (36 months) of the income from the transformation of scientific and technological achievements.


(4) Non profit scientific research institutions and colleges and universities shall sign technical contracts for the transformation of scientific and technological achievements, and shall, in accordance with the administrative measures for the recognition and registration of technical contracts, carry out examination and registration in the technology contract registration institutions, and obtain the certificate of technology contract recognition and registration.


Non profit scientific research institutions and colleges and universities shall improve the capital accounting for the transformation of scientific and technological achievements, and shall not include income such as normal wages and bonuses as scientific and technological personnel's posts, and enjoy preferential tax policies for the cash rewards for the transformation of scientific and technological achievements. "



Therefore, if the individual income tax of the state rewarding scientific and technological personnel for obtaining post transformation of scientific and technological achievements meets the conditions specified in the above-mentioned documents, the cash reward given to the scientific and technological personnel from the income from the transformation of post scientific and technological achievements can be reduced by 50% and included in the "wage and salary income" of the scientific and technological personnel in the current month, and the individual income tax shall be paid according to law.






38. Can the expenditure of individual purchase of tax deferred commercial endowment insurance be deducted before individual income tax?


Fujian taxation a: according to the notice of the Ministry of finance, General Administration of Taxation, human resources and social security, Ministry of China Banking and insurance supervision and Administration Commission on the pilot project of individual tax deferred commercial endowment insurance (CS [2018] No. 22), it is stipulated that "1. About the pilot policy


……


(2) Content of pilot policy.


The expenditures of individuals in pilot areas who purchase commercial endowment insurance products that meet the requirements through individual commercial pension fund accounts are allowed to be deducted before tax within a certain standard;The investment income included in the individual commercial pension fund account shall not be subject to individual income tax for the time being;Individual income tax is levied when individuals receive business pension.The specific provisions are as follows:


1. Pre tax deduction standard of individual payment.The premium paid by an individual who obtains income from wages and salaries and continuous service remuneration is allowed to be deducted according to the actual amount of taxable income calculated in the current month after declaration for deduction. The deduction limit shall be determined according to the method of the lower of 6% of salary and continuous service remuneration income of the current month and 1000 yuan.The premiums paid by owners of individual businesses, investors of sole proprietorship enterprises, natural person partners of partnership enterprises and contracted and leased business income of self-employed industrial and commercial households and contracted and leased business income of enterprises and institutions are allowed to be deducted according to the actual amount when calculating the taxable income in the year of declaration and deduction,The deduction limit shall be determined according to the method of not exceeding 6% of the current year's taxable income or 12000 yuan, whichever is lower.


2. There is no tax on the income of account funds.The investment income included in the individual commercial endowment fund account shall not be subject to individual income tax during the payment period.


3. Tax on individual commercial pension.When an individual reaches the retirement age stipulated by the state, he / she can receive the commercial pension by month or by year. In principle, the period of receiving the commercial pension is lifelong or not less than 15 years.If an individual dies, suffers from a total disability as stipulated in the insurance contract, or suffers from a serious disease, he may receive a one-time commercial pension.


For the commercial pension income received by individuals when they meet the specified conditions, 25% of them will be exempted from tax, and the remaining 75% will be calculated and paid individual income tax at the rate of 10%, and the tax will be included in the item of "other income."



Therefore, the individual who obtains salary and continuous service remuneration shall be allowed to deduct the tax deferred type commercial endowment insurance premium when the taxable income is calculated in the month of declaration and deduction, and the deduction limit shall be determined according to the method of the lower of 6% of salary and continuous service income of the current month and 1000 yuan.The premiums paid by owners of individual businesses, investors of sole proprietorship enterprises, natural person partners of partnership enterprises and contracted and leased business income of self-employed industrial and commercial households and contracted and leased business income of enterprises and institutions are allowed to be deducted according to the actual amount when calculating the taxable income in the year of declaration and deduction,The deduction limit shall be determined according to the method of not exceeding 6% of the current year's taxable income or 12000 yuan, whichever is lower.

 


39. If an individual transfers the donated house, and the house is the only one under his name, can the individual income tax be exempted if the transfer of the house property is less than five years from the time of inheritance to the transfer?


Fujian taxation department: according to the tax law and the current policies, the income obtained by individuals from the transfer of donated, inherited and divorced property analysis houses that meet the family life for more than five years and have the only housing can apply for exemption from individual income tax. The purchase time is in accordance with the notice of the State Administration of Taxation on several specific issues in the implementation of real estate tax policies(GSF [2005] No. 172) is implemented, that is, the purchase time is determined according to the purchase time before the act of donation, inheritance and divorce property division. Individuals need to go through the relevant procedures with the legal and effective legal documents of obtaining housing through donation, inheritance, divorce property division and other non purchase forms.


The Circular of the Ministry of Finance and the State Administration of Taxation on some policy issues concerning individual income tax (Cai Shui Zi No. 20, 1994) stipulates that "2. The following income shall be exempted from individual income tax temporarily


......


(6) Income from the transfer of personal use for more than five years and the only one for family use. "



Therefore, the personal income tax should be levied according to the facts when the individual transfers the donated housing for less than five years.

 


40. Does the enterprise need to pay individual income tax on behalf of employees when they give them high temperature subsidies?


Fujian tax answer: 1. According to Article 4 of the individual income tax law of the people's Republic of China (revised the seventh time according to the decision on Amending the individual income tax law of the people's Republic of China adopted by the fifth meeting of the Standing Committee of the 13th National People's Congress on August 31, 2018), it is stipulated that "the following individual income shall be exempted from individual income tax:


……


3、 Subsidies and allowances granted in accordance with the unified provisions of the state;


……”


2、 According to Article 10 of the regulations for the implementation of the individual income tax law of the people's Republic of China (Decree No. 707 of the people's Republic of China), it is stipulated that:"For the purposes of item 3 of the first paragraph of Article 4 of the individual income tax law, the term" subsidies and allowances granted in accordance with the unified provisions of the state "refers to the special government subsidies and academicians' allowances granted in accordance with the provisions of the State Council, as well as other subsidies and allowances exempted from individual income tax as prescribed by the State Council."


In addition, according to the notice of the State Administration of Taxation on the determination of the scope of living allowance (GSF [1998] No. 155), the following income does not belong to the scope of tax-free welfare expenses, and shall be incorporated into the taxpayer's wage and salary income for individual income tax calculation:


(1) Various subsidies and subsidies paid to individuals from welfare expenses and trade union funds that exceed the proportion or base set by the state;


(2) Subsidies and subsidies paid to all employees of the unit from welfare and trade union funds;


(3) The unit purchases cars, houses, computers and other expenditures not belonging to the nature of temporary living difficulties subsidies for individuals. "



 Therefore, the high-temperature subsidies paid to employees by enterprises belong to the subsidies and subsidies paid to the employees of the unit from the welfare fees and trade union funds, and the individual income tax needs to be withheld and remitted.

 

Personal tax 41-68

picture


41. Do employees need to pay individual income tax on behalf of labor union welfare?


Fujian taxation a: 1. According to the individual income tax law of the people's Republic of China (revised for the seventh time according to the decision on Amending the individual income tax law of the people's Republic of China adopted at the fifth meeting of the Standing Committee of the 13th National People's Congress on August 31, 2018), "Article 4 the following individual income shall be exempted from individual income tax:


……


4、 Welfare, pension and relief fund;


……”


2、 According to Article 11 of the regulations for the implementation of the individual income tax law of the people's Republic of China (Decree No. 707 of the people's Republic of China), it is stipulated that:"The welfare expenses mentioned in Item 4 of the first paragraph of Article 4 of the individual income tax law refers to the living subsidies paid to individuals from the welfare funds or trade union funds retained by enterprises, institutions, state organs and social organizations in accordance with the relevant provisions of the state; the term" relief funds "refers to the living difficulties subsidies paid to individuals by civil affairs departments of people's governments at all levels."


3、 According to the notice of the State Administration of Taxation on the determination of the scope of living allowance (GSF (1998) No. 155), it is stipulated that:"1. The term" living allowance "as mentioned above refers to the temporary allowance for living difficulties paid to the taxpayer or his family from the welfare funds or trade union funds retained by the working unit in accordance with the provisions of the state.


2、 The following income does not belong to the scope of tax-free welfare expenses, and shall be incorporated into the taxpayer's wage and salary income for individual income tax calculation:


……


(2) Subsidies and subsidies paid to all employees of the unit from welfare and trade union funds;


……”



Therefore, the employees should pay individual income tax according to the salary income. 

 


42. If an individual obtains the professional qualification certificate of professional and technical personnel in 2018, can he enjoy the special additional deduction of continuing education?


Fujian taxation department: according to Article 8 of the notice of the State Council on printing and distributing the Interim Measures for special additional deduction of individual income tax (GF [2018] No. 41), "the expenditure of taxpayers receiving continuing education of vocational qualification of skilled personnel and continuing education of professional and technical personnel shall be deducted in a fixed amount of 3600 yuan in the year of obtaining relevant certificates."


In addition, according to Article 13 of the announcement of the State Administration of Taxation on Issuing the operating measures for special additional deduction of individual income tax (Trial Implementation) (Announcement No. 60, 2018 of the State Administration of Taxation)"Taxpayers who are entitled to special additional deduction for continuing education... Those who receive continuing education for vocational qualifications of skilled personnel or professional and technical personnel shall fill in and fill in the certificate name, certificate number, issuing authority, issuing (APPROVAL) time and other information."



Therefore, the taxpayer will not be entitled to the special additional deduction for continuing education in 2019, subject to the acquisition time indicated on the professional qualification certificate of professional and technical personnel.

 


43. If an individual takes the vocational qualification examination for skilled personnel in 2018 and obtains the qualification certificate in 2019, can he enjoy the special additional deduction for continuing education in 2019?


Fujian taxation department: according to Article 8 of the notice of the State Council on printing and distributing the Interim Measures for special additional deduction of individual income tax (GF [2018] No. 41), "the expenses of continuing education for academic qualifications (degrees) received by taxpayers within the territory of China shall be deducted at a fixed rate of 400 yuan per month during the period of academic degree (degree) educationThe period of deduction for continuing education shall not exceed 48 months. The expenses incurred by taxpayers for continuing education of vocational qualifications for skilled personnel and continuing education for professional and technical personnel shall be deducted at a fixed amount of 3600 yuan in the year of obtaining relevant certificates. "


In addition, according to the announcement of the State Administration of Taxation on Issuing the operating measures for special additional deduction of individual income tax (for Trial Implementation) (Announcement No. 60 of the State Administration of Taxation in 2018): "Article 3 the calculation time for taxpayers to enjoy the special additional deduction in accordance with the provisions is respectively as follows:


(2) Continuing education.Continuing education for academic qualifications (degrees) refers to the period from the month when continuing education for academic qualifications (degrees) is accepted within the territory of China to the month when continuing education for academic qualifications (degrees) ends. The maximum deduction period for continuing education of the same academic degree (degree) shall not exceed 48 months.The vocational qualification continuing education of skilled personnel and professional and technical personnel shall be the year of obtaining relevant certificates. "



Therefore, taxpayers can enjoy the special additional deduction of continuing education in the year of obtaining the qualification certificate, that is, in 2019.

 


44. Does the withholding agent need to deduct and pay individual income tax on behalf of an individual who has obtained remuneration for the same project for several times in a month?


Fujian taxation a: according to Article 11 of the announcement of the State Administration of Taxation on Issuing the administrative measures for the withholding and declaration of individual income tax (for Trial Implementation) (Announcement No. 61 of the State Administration of Taxation in 2018), it is stipulated that:"If the income from remuneration for labor services, remuneration for contributions and royalties belongs to one-off income, it shall be regarded as one-off income; if it belongs to the continuous income of the same project, the income obtained within one month shall be regarded as one time."



Therefore, the withholding agent should withholding and paying individual income tax on the same item within one month.

 


45. Can individual income tax be assessed on the property acquired through personal transfer and inheritance?


Fujian tax official reply: according to the second item of Article 2 of the notice of the State Administration of Taxation on strengthening the tax administration of the real estate donated by individuals without compensation (GSF [2006] No. 144), "when calculating and collecting individual income tax on personal donated real estate, it shall not be assessed and collected, but shall be collected in strict accordance with the tax law."



Therefore, personal income tax must be levied on the real estate acquired through personal transfer and inheritance.

 


46. When individuals provide construction services, should they pay individual income tax according to the income from labor remuneration or business income?


Fujian taxation department: according to Article 3 of the notice of the State Administration of Taxation on printing and distributing the Interim Measures for the collection and administration of individual income tax in the construction and installation industry (GSF [1996] No. 127), it is stipulated that:"Individual income tax shall be levied on the income obtained by contractors engaged in various engineering operations in the construction and installation industry in accordance with different situations: the income derived from the business achievements owned by the contractor, or in accordance with the contract (agreement)It is stipulated that the income from part of the business achievements retained by the Contractor shall be taxed according to the income items of contracted operation and leased operation of enterprises and institutions, and the income obtained by other means of distribution shall be taxed according to the income items of wages and salaries.


Individual industrial and commercial households engaged in the construction and installation industry, construction and installation teams and individuals who undertake construction and installation projects without business license, and those whose industrial and commercial registration is changed to the nature of individual economy after the implementation of individual contracting by construction and installation enterprises shall be subject to individual income tax according to the items of production and business income of individual industrial and commercial households.


Individual income tax shall be levied on the income derived by other personnel engaged in construction and installation work according to the items of wages, salaries and remuneration for labor services. "



Therefore, when individuals provide construction services, they should confirm what tax items are applicable to individual income tax in accordance with the provisions of the above documents.

 


47. How to pay individual income tax when employees retire early and receive one-time compensation from enterprises?


Fujian taxation department: according to the notice of the State Administration of Taxation of the Ministry of Finance on the convergence of preferential policies after the amendment of the individual income tax law (CS [2018] No. 164), "5. Policies on the one-time compensation income for the termination of labor relations, early retirement and internal retirement


……


(3) The one-time subsidy income obtained by an individual through the internal retirement procedures shall be calculated and paid in accordance with the provisions of the notice of the State Administration of Taxation on policy issues concerning individual income tax (GSF [1999] No. 58)


In addition, according to the notice of the State Administration of Taxation on the relevant policy issues of individual income tax (GSF [1999] No. 58), "1. On the issue of tax collection on the income of staff members of enterprises and the implementation of internal retirement measures in administrative, public institutions and social organizations in the process of institutional reform.


The wages and salaries obtained by an individual who has undergone internal retirement procedures from his / her original post to the legal retirement age are not retirement wages, and shall be subject to individual income tax according to the item of "income from wages and salaries".


After handling the internal retirement procedures, the one-time income obtained by an individual from the original working unit shall be averaged according to the month from handling the internal retirement procedures to the legal retirement age, and shall be combined with the income from the 'wages and salaries' of the current month, minus the expense deduction standard of the current month, and determine the applicable tax rate with the balance as the base numberPersonal income tax shall be levied at the applicable tax rate on the basis of salary plus one-time income obtained, less deduction standard of expenses.


The 'wages and salaries' income obtained by an individual from re employment after going through the internal retirement procedures and the legal retirement age shall be combined with the' wages and salaries' income of the same month obtained from the original employer, and shall declare and pay individual income tax to the competent tax authorities in accordance with the law. "



Therefore, employees who get one-time compensation from the enterprise should pay individual income tax in accordance with the provisions of the above documents.

 


48. How should residents pay individual income tax when they obtain income from abroad?


Fujian tax official: according to Article 20 of the regulations on the implementation of the individual income tax law of the people's Republic of China (state order No. 707), "the comprehensive income and business income obtained by individual residents from inside and outside China shall be separately consolidated to calculate the tax payable; other income obtained from inside and outside the people's Republic of China shall be separately calculated for the amount of tax payable.


In addition, according to Article 7 of the individual income tax law of the people's Republic of China, an individual resident may offset the individual income tax paid abroad from his or her taxable amount, but the amount of credit shall not exceed the amount of tax payable on the taxpayer's overseas income calculated in accordance with the provisions of this law. "



Therefore, if a resident obtains income from abroad, he / she needs to incorporate it into his / her comprehensive income or business income to calculate and pay individual income tax, but he / she can offset the individual income tax paid abroad from his / her taxable amount.

 


49. Can foreign individuals who have lived in China for 183 days or less but have paid social security fees can be deducted before personal income tax on wages and salaries?


Fujian taxation a: according to the announcement of the State Administration of Taxation on the convergence of the collection and administration of the new individual income tax law in an all-round way (Announcement No. 56 of the State Administration of Taxation in 2018), "II. Withholding methods for non resident individuals


When a withholding agent pays wages and salaries, remuneration for services, remuneration for contributions and royalties to non residents, the withholding agent shall withhold and remit individual income tax on a monthly or per time basis in accordance with the following methods:


For the income from wages and salaries of non residents, the taxable income shall be the balance of monthly income after deducting expenses of 5000 yuan;


...... ”



Therefore, the social security expenses paid by non resident individuals in China can not be deducted before personal income tax of wage and salary income.

 


50. Is there any other income tax items in the individual income tax in 2019?


Fujian taxation a: according to Article 2 of the individual income tax law of the people's Republic of China (revised for the seventh time according to the decision on Amending the individual income tax law of the people's Republic of China adopted by the fifth meeting of the Standing Committee of the 13th National People's Congress on August 31, 2018), "individual income tax shall be paid for the following individual income:


(1) Income from wages and salaries;


(2) Income from remuneration for labor services;


(3) Income from author's remuneration;


(4) Royalty income;


(5) Business income;


(6) Income from interest, dividend and bonus;


(7) Income from lease of property;


(8) Income from the transfer of property;


(9) By chance. "



Therefore, there is no other income tax item in the individual income tax in 2019.

 


51. How should retirees pay individual income tax when they receive a replacement occupational annuity?


Fujian taxation a: according to the notice of the Ministry of Finance and the State Administration of Taxation on the convergence of preferential policies after the amendment of the individual income tax law (CS [2018] No. 164), "IV. policies on individual receiving enterprise annuity and occupational annuity



If an individual reaches the retirement age stipulated by the state and receives enterprise annuity and occupational annuity in accordance with the notice of the Ministry of finance, Ministry of human resources and social security, and State Administration of Taxation on issues related to individual income tax of occupational annuity (CS [2013] No. 103), it shall not be included in the comprehensive income, and the full amount of tax payable shall be calculated separately.Among them, the monthly tax rate table shall be applied to calculate the tax payment if it is collected on a monthly basis;If it is collected quarterly, it shall be apportioned and included in each month, and the tax shall be calculated according to the monthly tax rate table applicable to the monthly amount received;If it is collected on an annual basis, it shall be calculated and taxed according to the comprehensive income tax rate table. "

 


52. What should a natural person obtain as a pre tax deduction voucher of individual income tax when he has public welfare donation expenditure?


Fujian taxation department: according to the supplementary notice of the Ministry of finance, the State Administration of Taxation and the Ministry of Civil Affairs on the pre tax deduction of public welfare donations (CS [2010] No. 45), enterprises or individuals shall provide the public welfare donation expenses incurred through public welfare social organizations at or above the provincial level (including the provincial level)The public welfare donation bills printed and sealed by the financial department, or the receipt form of the general payment form of non tax income with the seal of the recipient can be deducted before tax according to the regulations. "



Therefore, if a natural person incurs public welfare donation expenditure, he / she should obtain the public welfare donation bill printed by the financial department above the provincial level (including the provincial level) and stamped with the seal of the recipient, or the receipt copy of the general payment form of non tax income with the seal of the recipient as the pre tax deduction voucher of individual income tax.





 


53. How should teachers pay personal income tax when they receive invigilation fee when they participate in the invigilation of college entrance examination?


Fujian tax official answer: according to the second article of the individual income tax law of the people's Republic of China, individual income tax shall be paid for the following individual income:


(1) Income from wages and salaries;


(2) Income from remuneration for labor services;


……”


In addition, according to Article 6 of the regulations on the implementation of the individual income tax law of the people's Republic of China (Decree No. 707), "the scope of individual income as stipulated in the individual income tax law is as follows:


(1) The term "income from wages and salaries" refers to the wages, salaries, bonus, year-end salary increase, labor bonus, allowance, subsidy and other income related to the post or employment of an individual.


(2) The term "income from remuneration for labor services" refers to the income obtained by individuals engaged in labor services, including design, decoration, installation, drawing, laboratory testing, testing, medical treatment, law, accounting, consulting, lecturing, translation, manuscript review, calligraphy and painting, carving, film and television, sound recording, video recording, performance, advertising, exhibition, technical services, introduction services, brokerage servicesIncome from agency services and other services.


……”



Therefore, if the invigilation fee is paid by the school to the teacher in the form of salary, the personal income tax shall be paid according to the "salary income";If invigilation fee is paid by other units as labor remuneration, individual income tax shall be paid according to "income from labor remuneration".

 


54. Is it necessary to levy personal income tax on property donated by immediate relatives?


Fujian taxation department: according to the announcement of the Ministry of Finance and the State Administration of Taxation on the application of individual income tax taxable income items to personal income (Announcement No. 74 of the State Administration of Taxation of the Ministry of Finance): "2. If the owner of the house property gives the property right of the house to others free of charge, the donated income obtained by the donee due to the free acceptance of the house shall be subject to the" accidental income "In accordance with Article 1 of the notice of the Ministry of Finance and the State Administration of Taxation on individual income tax issues related to individual donated houses (CS [2009] No. 78), if the following circumstances are met, no individual income tax shall be levied on both parties:


(1) The owner of the house property gives the property right to his / her spouse, parents, children, grandparents, grandchildren, grandchildren, brothers and sisters free of charge;


……”



Therefore, there is no need to levy personal income tax on the property donated by immediate relatives.

 


55. Do enterprises need to pay personal income tax if they invite experts to carry out academic exchanges and give them transportation subsidies?


Fujian taxation a: according to Article 6 of the regulations on the implementation of the individual income tax law of the people's Republic of China (Decree No. 707), "the scope of individual income stipulated in the individual income tax law is as follows:


……


(2) The term "income from remuneration for labor services" refers to the income obtained by individuals engaged in labor services, including design, decoration, installation, drawing, laboratory testing, testing, medical treatment, law, accounting, consulting, lecturing, translation, manuscript review, calligraphy and painting, carving, film and television, sound recording, video recording, performance, advertising, exhibition, technical services, introduction services, brokerage servicesIncome from agency services and other services. "



Therefore, enterprises should pay individual income tax according to the income of labor remuneration.

 


56. If a non resident individual stays in China for less than 24 hours, does it need to be included in the domestic working days?


Fujian taxation a: according to the announcement of the State Administration of Taxation of the Ministry of Finance on the individual income tax policies of non resident individuals and uninhabited residents (Announcement No. 35 of the State Administration of Taxation of the Ministry of Finance in 2019), it is stipulated that "1


(1) Provisions on the source of wages and salaries.


Personal income from wages and salaries during the period of working within the territory of China (hereinafter referred to as "domestic") shall be the income from wages and salaries derived from China.The domestic working period shall be calculated according to the working days in China, including the actual working days in China and the public holidays, personal holidays and training days enjoyed by individuals in China and abroad.If an individual who holds a post at the same time in a domestic or overseas unit or only holds a post in an overseas unit, if the day of his stay in China is less than 24 hours, the working days in China shall be calculated as half a day.


If an individual without domicile holds a post in a domestic or overseas unit at the same time or only holds a post in an overseas unit, and simultaneously works at home and abroad in the current period, the amount of income derived from domestic and overseas salary shall be calculated and determined according to the proportion of domestic and overseas working days to the current Gregorian calendar days.Overseas working days shall be calculated according to the current Gregorian calendar days minus the current domestic working days. "



Therefore, if a non resident individual stays in China for less than 24 hours, it shall be included in the domestic working days according to half a day.

 


57. During the period of deferred tax payment for individual technology invested enterprises, should individuals still pay individual income tax according to the income from property transfer when the enterprise goes bankrupt due to mismanagement?


Fujian taxation department: according to the notice of the Ministry of Finance and the State Administration of Taxation on improving the income tax policies related to equity incentive and technology investment (CS [2016] No. 101), "3. Implement selective preferential tax policies for investment in technological achievements


(1) If an enterprise or an individual invests in a domestic resident enterprise with technological achievements and the consideration paid by the invested enterprise is all stocks (rights), the enterprise or individual may choose to continue to implement the current relevant tax policies, or choose to apply the preferential policy of deferred tax payment.


For those who choose the policy of deferred tax payment for investment in technological achievements as shares, after filing with the competent tax authorities, tax may not be paid in the current period when the investment is invested in shares. When the equity is allowed to be deferred, the income tax shall be calculated and paid according to the difference between the income from equity transfer minus the original value of the technological achievements and reasonable taxes and fees. "



Therefore, individuals need to pay individual income tax according to the income from property transfer before bankruptcy liquidation, which is calculated by the difference between the income from equity transfer minus the original value of technical achievements and reasonable taxes and fees.

 


58. If the purchase of commercial health insurance products exceeds the individual income tax deduction limit of the current year, can it be carried forward to the following year for deduction?


Fujian taxation department: according to the notice of the Ministry of Finance and the State Administration of Taxation on promoting the pilot policy of individual income tax on commercial health insurance to be implemented nationwide (CS [2017] No. 39), "1


For the individual's expenditure on purchasing commercial health insurance products that meet the requirements, it is allowed to deduct before tax when calculating the taxable income of the current year (month), with the deduction limit of 2400 yuan / year (200 yuan / month).The expenses of purchasing commercial health insurance products conforming to the regulations for employees by the unit shall be included in the personal wages and salaries of employees respectively, which shall be deemed as personal purchase and deducted according to the above limit.


……


4、 On tax collection and management


If the unit uniformly organizes the purchase of commercial health insurance products that meet the requirements for employees or the unit and individual jointly bear the purchase, the part borne by the unit shall be included in the detailed list of individual wages and salaries, which shall be deemed as individual purchase, and shall be deducted monthly within the standard of no more than 200 yuan / month from the next month of purchasing the product.The part of premium exceeding 2400 yuan within one year shall not be deducted before tax. "



Therefore, the purchase of commercial health insurance products exceeding the deduction limit of individual income tax in the current year can not be carried forward to the deduction in the following years.

 

59. Is it still necessary to apply for self declaration for two or more wages and salaries obtained in 2019?

Beijing tax official: if the income from wages and salaries of two or more places obtained by individual residents in 2019 is not required to declare on a monthly basis, if it meets the requirements of Document No. 62 in 2018 announced by the State Administration of Taxation, it is necessary to conduct final settlement.

 

If a non resident individual obtains two or more wages and Salaries Income in 2019, he / she shall, within 15 days of the next month, file a tax return with the local competent tax authority where one of the units where he / she holds the post or is employed, and submit the individual income tax self payment return (form a).

 


60. If the partner of the partnership is a natural person, can he / she be withholding individual income tax according to his / her salary?



Beijing tax official: according to the provisions of the individual income tax law of the people's Republic of China, the notice of the Ministry of Finance and the State Administration of Taxation on the income tax of partnership partners (CS [2008] No. 159) and the measures for individual income tax calculation of individual industrial and commercial households (No. 35 order of the State Administration of Taxation), the income obtained by partnership partners from the partnership shall be compared"Business income" is calculated and paid individual income tax, which is not income from wages and salaries.

 


61. How to deduct the special additional deduction from the production and operation income of individual businesses and when?


Beijing tax official answer: according to Article 15 of the regulations on the implementation of the individual income tax law of the people's Republic of China, if an individual who obtains business income does not have comprehensive income, when calculating the taxable income of each tax year, the expenses of 60000 yuan, special deduction, special additional deduction and other deductions determined according to law shall be deducted.The special additional deduction shall be deducted at the time of final settlement.



Therefore, individual businesses can apply for special additional deduction in final settlement.

 


62. How to report the individual income tax on the reward given by the unit to the old employee who recommends the new employee (the behavior is not within the scope of his / her daily work)?



Xiamen tax answer: salary income refers to the salary, salary, bonus, year-end salary increase, labor bonus, allowance, subsidy and other income related to the post or employment obtained by an individual due to his post or employment.The award shall still be taxed on the basis of wages and salaries.

 


63. In the new tax law, when wages and salaries are withheld and remitted on a monthly basis in two places, are both withholding agents withholding 5000 expenses?



Xiamen tax A: according to Article 6 of the measures for the administration of withholding and declaration of individual income tax (for Trial Implementation) (announcement of the State Administration of Taxation, No. 61, 2018), when a withholding agent pays wages and salaries to an individual resident, the withholding tax shall be calculated according to the cumulative withholding method, and the withholding declaration shall be handled monthly.In the calculation of tax, the accumulative deduction of expenses shall be calculated by multiplying 5000 yuan per month by the number of months of service and employment of the taxpayer in the unit up to the current month.In addition, if a taxpayer obtains comprehensive income (including wages) from two sources, and the amount of tax prepaid in the tax year is lower than the amount of tax payable, it shall, in accordance with the provisions of the tax law, handle the final settlement of comprehensive income from March 1 to June 30 of the following year.

 


64. Can tax records of individual income tax be issued by others?


Xiamen tax A: according to Article 4 of the announcement of the State Administration of Taxation on the adjustment of individual income tax payment certificate (document type) to tax record (Announcement No. 55 of the State Administration of Taxation in 2018), taxpayers can entrust others to issue individual income tax payment records at the tax service department with the following certificates and materials:


(1) The original of the valid identity card of the client and the trustee;



(2) Written authorization information of the client.

 


65. Does the enterprise pay individual income tax for recuperation (travel to a certain place) organized by the enterprise?



Xiamen tax answer: need to pay individual income tax.According to the notice of the Ministry of Finance and the State Administration of Taxation on the individual income tax policy of enterprises offering individual rewards to marketing personnel in the form of free travel (CS [2004] No. 11), and in accordance with the relevant provisions of China's current individual income tax laws and regulations, enterprises and units shall provide training courses, seminars, training courses, seminars, andWhen organizing tourism activities in the name of work investigation, marketing performance rewards (including physical objects, securities, etc.) implemented by individuals through the exemption of travel expenses and travel expenses shall be included in the taxable income of marketing personnel in full according to the expenses incurred, and the individual income tax shall be collected according to law, and shall be withheld and paid by the enterprises and units providing the above expenses.Therefore, this kind of reward enjoyed by enterprise employees should be combined with the current salary and personal income tax should be levied according to the item of "income from wages and salaries";Such rewards enjoyed by other personnel shall be regarded as the service income of the current period, and the individual income tax shall be levied according to the item of "income from labor remuneration".

 


66. How do retirees pay individual income tax when they get the bonus and subsidy from their former units?



Xiamen tax A: according to the reply of the State Administration of Taxation on Levying Individual Income Tax on bonus subsidies other than retirement wages paid by the retirees from their units (GSH [2008] No. 723), it is stipulated that "in addition to receiving retirement wages or pensions according to the regulations, all kinds of subsidies, bonuses and physical objects obtained from the original working unit are not included in theArticle 4 of the individual income tax law of the people's Republic of China stipulates that retirement wages, retirement wages and retirement living allowances are tax-freeAccording to the relevant provisions of its implementation regulations, the retirees shall pay individual income tax according to the taxable items of wage and salary income after deducting the expenses deduction standard for various kinds of subsidies, bonus and material objects obtained from the former working unit. "

 


67. Do individuals need to pay personal income tax on gift income from attending seminars held by other companies?


Xiamen tax A: according to Article 3 of the announcement of the State Administration of Taxation of the Ministry of Finance on the application of individual income tax taxable income items to personal income (Announcement No. 74 of the State Administration of Taxation of the Ministry of finance, in business publicity, advertising and other activities, enterprises will give gifts (including network red packets, the same below) to individuals other than their own units, and the enterprises shall present gifts (including network red packets, the same below) to individuals other than their own in business publicity and advertising activities, and the enterprises shall give gifts (including network red packets, the same below) toWhen gifts are given to individuals other than their own units in seminars, celebrations and other activities, personal income tax shall be calculated and paid according to the item of "accidental income", with the exception of such gifts as consumption coupons, vouchers, coupons, coupons with price discounts or discounts given by enterprises.


The taxable income of the gift income mentioned in the preceding paragraph shall be calculated in accordance with Article 3 of the notice of the Ministry of Finance and the State Administration of Taxation on personal income tax issues related to gifts presented by enterprises for promotion and Exhibition (CS [2011] No. 50).



Article 3 of the notice of the Ministry of Finance and the State Administration of Taxation on personal income tax issues related to gifts presented by enterprises for promotion and Exhibition (CS [2011] No. 50) stipulates that if the gifts given by enterprises are self-produced products (services), the individual's taxable income shall be determined according to the market sales price of the products (services);If it is a purchased commodity (service), the individual's taxable income shall be determined according to the actual purchase price of the commodity (service).

 


68. How to pay individual income tax on the compensation paid after the expiration of the labor contract?



Xiamen tax answer: the one-time compensation income obtained by the termination of labor relations is based on the termination of labor relations between individuals and employers.That is to say, this notice can only be applied if it is in accordance with the conditions for the termination of labor relations stipulated in the labor contract law.Therefore, after the expiration of the labor contract, the compensation paid for the termination of the contract does not belong to the one-time compensation for the termination of the contract as stipulated in the CS [2018] No. 164 document, and shall be consolidated in the month of payment.


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