China – Individual Income Tax (“IIT”)

    The last substantial overhaul of the PRC Individual Income Tax´ Law (“IIT Law”) and related implementing regulations and other related measures became effective as of 1 January 2019. Some changes were provided to only be gradually phased out during a transitional period now extended until 31 December 2027 (“Transitional Period”) as per several announcements by the PRC Ministry of Finance on 28 August 2023.




    1. Income categories and tax filing
    2. IIT rates & brackets for different income categories
    3. Deductions applicable to calculation of taxable income for IIT purposes
    4. Tax residency
    5. Withholding agent, taxpayer and tax ID
    6. Preferential tax treatments under the IIT Law
    7. Anti-avoidance rules