China’s Taxation Administration: Management of Accounting Books and VouchersAccounting books and vouchers are important management tools for taxpayers' operation and management, and are also the main basis for tax supervision by tax authorities. Taxpayers must establish accounting books according to the national fi…
China’s Taxation Administration: Tax RegistrationIndividuals, enterprises, and their branches that are required to pay taxes under the Tax Law must apply for tax registration with the tax authorities by producing the necessary documents within 30 days from the date of obtaining their business license. If a taxpayer nee…
China’s Individual Income Tax Law: Tax Rate Individual income tax is levied at excess progressive tax rate or proportional tax rate. Income from wages and salaries is taxed based on the balance of monthly income minus RMB 3,500 at the excess progressive tax rate. The revised Individual Tax Law has changed the excessive…
China’s Individual Income Tax Law: Incidence of TaxationThe current individual income tax includes the following 11 taxable items: Income from wages and salaries; Income from the operation and management of individual businesses; Income from contracted or leased operations of enterprises and institutions; Income from s…
China’s Individual Income Tax Law: TaxpayersIndividual income tax refers to a type of tax levied on various taxable income obtained by individuals (i.e., natural persons). The Individual Income Tax Law of the PRC, promulgated on September 10, 1980 and revised six times in 1993, 1999, and 2005, on June 29 and December 2…
China’s Corporate Income Tax Law: Taxation AdministrationIn addition to the Corporate Income Law, the collection and management of corporate income tax shall also be subject to the applicable provisions of the Law of the PRC on the Administration of Tax Collection.1. Tax payment periodCorporate income tax is calculate…
China’s Corporate Income Tax Law: Incentives and Exemptions(1) The State provides incentives for corporate income tax for industries and projects as the targets of major support and encouragement. The following income items are tax-free:① Treasury bond interest;② Dividends, bonuses, and other income items derived fro…
China’s Corporate Income Tax Law: CollectionThe balance of the total income of an enterprise in each tax year, after deducting non-taxable income, tax-free income, various deductions, and losses allowed in previous years, is its taxable income. The balance of the taxable income of an enterprise multiplied by the appli…
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