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People's Republic of China
Beijing
1.393 billion
Renminbi
.cn
+86
Renminbi
Taxable income (CNY) |
Tax rate (%) |
Tax due (CNY) |
Cumulative tax due (CNY) |
First 36,000 |
3 |
1,080 |
1,080 |
Next 108,000 |
10 |
10,800 |
11,880 |
Next 156,000 |
20 |
31,200 |
43,080 |
Next 120,000 |
25 |
30,000 |
73,080 |
Next 240,000 |
30 |
72,000 |
145,080 |
Next 300,000 |
35 |
105,000 |
250,080 |
Above 960,000 |
45 |
- |
- |
Taxable income (CNY) |
Tax rate (%) |
Tax due (CNY) |
Cumulative tax due (CNY) |
First 3,000 |
3 |
90 |
90 |
Next 9000 |
10 |
900 |
990 |
Next 13,000 |
20 |
2600 |
3,590 |
Next 10,000 |
25 |
2500 |
6,090 |
Next 20,000 |
30 |
6000 |
12,090 |
Next 25,000 |
35 |
8,750 |
20,840 |
Above 80,000 |
45 |
- |
- |
Deductible item |
Deductible amount (CNY) |
Child education |
1,000 per child per month |
Continued education |
400 per month or 3,600 per year depending on the type of qualified continued education |
Mortgage interest |
1,000 per month |
Rental expense |
800, 1,100, or 1,500 per month depending on the location |
Elderly care |
Up to 2,000 per month depending on the status of the taxpayer |
Major medical expense |
Qualified self-paid portion above 15,000 and capped at 80,000 per year for each eligible individual |
Type of Visa/ permit |
Documentation |
Validity |
Eligibility |
Visa Z |
Expert Bureau
|
3 months |
China Work visa (Z Visa) is issued to those who have obtained employment permit and intend to work in China |
Visa M |
|
30 days (can be extended up to 10 years) |
Business M visa is issued to those who intend to go to China for commercial and trade activities. |
VAT |
|
Standard Rate |
13% |
Standard Rate |
9% |
Standard Rate |
6% |
Reduced Rate |
3% |
Nil Rate |
0% |
WHT |
|
Dividends |
10% |
Interest |
10% |
Royalties |
10% |
Technical Service |
25% of income tax |
Statutory Benefits |
Probationary Period |
Annual Leave |
Public Holidays |
Parental Leave |
Sick Leave |
Overtime Pay |
Notice Period |
Severance Pay |
Social Security Benefits |
Christmas Bonus% |
Based on one month bonus [There is no evidence that the bonus is the equivalent of one month]8.33% |
Christmas Bonus Over Vacations % |
0% |
Severance per Year % |
Employees are entitled to severance pay equal to one month's pay after completion of one year of employment (8.33% of annual salary) |
Vacations % | Employees who have worked at a company for one continuous year are entitled to five days’ annual leave (1.37% of annual salary) |
Notice % |
Employees are entitled to 30 days of notice period for one year of service or more (8.24%) |
Christmas Bonus Over Notifications% | 0% |
Vacations Plus% | 0% |
Total percentage of Salary (yearly) | The total employment accruals as a percentage of salary per anum are equal to 26.27% |
Pension |
16.00% |
Medical |
10.00% |
Unemployment |
0.80% |
Maternity |
1.00% |
Work related injury |
1.90% |
Housing Fund |
12.00% |
Christmas Bonus |
8.33% |
Vacations |
7.12% |
Employment Accruals | ||
Annual Leave | Employees who have worked at a company for one continuous year are entitled to five days’ annual leave. | This equals 1.37% (5/365 days) of annual income |
Maternity Leave | Female employees are entitled to 98 days of maternity leave, including 15 days of prenatal leave. | This equals 26.8% (98/365 days) of annual income |
Paternity Leave | China's mandatory paternity leave is 14 days | This equals 3.8% (14/365 days) of annual income |
Sick Leave | In China, employees are entitled to a period of medical treatment that can vary from 3 to 24 months on account of illness or non-work related injuries. An employee is usually compensated at 60 to 100 percent of their normal wage during their sick leave period. The percentage employees have a right to depends on their seniority. |
Subjective |
Overtime | Any work that exceeds 8 hours per normal work day must be paid at 1.5 times of the employee's contractually agreed to hourly wage. | Normal hourly rate is around 183 CNY. Overtime is paid at an additional 91.5 CNY. |
Severance | In China, severance pay amounts to one month's pay per year of service. | This equals 8.33% (1/12 months) of annual income |
Social Security | Monthly employer and employee social security contribution rates, applicable caps, etc. are governed by local rules, which may vary among the local jurisdictions. Beijing: - Pension 16%; Medical 10%; Unemployment 0.8%; Maternity 0.8%; Work-related injury 0.2% to 1.9%; Total 27.8% to 29.5% |
This equals 29.5% of annual income |