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China tax alert: revised Individual Income Tax promulgated

Summary

On 31 August 2018, the Standing Committee of the National People’s Congress promulgated the revised Individual Income Tax Law of the People’s Republic of China (IIT Law). A revision of the IIT Law, last revised in 2011, was highlighted by the Ministry of Finance during the third session of the Thirteenth National People’s Republic of China. Ten days later, the National People’s Congress released the Draft Amendments Seeking Consultation from the Public (Draft). The revised IIT Law retains the key […]

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Horizons Q & A: individual income tax (IIT) for foreign employees in China

It’s important for both China-based employers and foreign employees working in China to be familiar with income tax and compliance requirements pertaining to China’s Individual Income Tax (IIT) Law. Let’s jump in and answer some basic questions in three parts.

Part I – Individual income tax of foreign employees

Q: What is the Individual Income Tax Liabilities for Foreign Employees in China?

A: The IIT liability of a foreign individual in China depends on the individual’s duration of stay in China and their […]

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