外籍人个税计算要点英文版

1.Policy summary:
1)Days in China refers to the entry-departure history of your passport, both the entry date and departure will be deemed as half an day in China
Any 30 successive days or 90 days in total off China in a calendar year constitute a “less than 1 year”
For those foreign countries that reached double taxation agreement with China, 183 days is very important. (90 days for those not yet)
2)Days in China less than 183 days
a)Get paid from China, taxable;
b)Get paid from outside China, but relevant expense will finally be Charge back to Chinese enterprises, taxable;
c)Get paid from outside China and expense borne by foreign country, exempted from IIT in China.
When you are off China, those portion of incomes get paid from neither China or outside China will be exempted from IIT. This will be shown as a ratio in IIT calculating.
If a foreign guy now working in China luckily get paid from 3 party, A RMB from China, B RMB from HQ but will later charge back to the Chinese Company, and C RMB from another affiliate company that will not be borne by the Chinese company. (B and C RMB amount are foreign currency amount multiply month end exchange rate) And in Sep he has 12 days in China and the other 18 days off China.
then Calculation formula:
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Incomes get paid by either China or out
Tax to be calculated first for all incomes Determines the Ratio of taxable income out of total income
3)Days in China more than 183 days but less than one year
a)Get paid from China, taxable;
b)Get paid from outside China, taxable;
when you are off China, those portion of incomes get paid from neither China or outside China will be exempted from IIT.
Calculation formula:
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Incomes get paid by either China or out China when off China are tax free
Tax to be calculated first for all incomes All incomes get paid when stay in China will be taxable
4)Days in China more than one year but less than 5 years
a)Get paid from China, taxable;
b)Get paid from outside China, taxable;
when you are off China, those portion of incomes get paid from China will be charged with IIT while those paid from outside China will be exempted from IIT. Which is different from the said above 2 situations.
Calculation formula:
Only those portion of income get Tax to be calculated first for all incomes
5)Days in China more than one year but less than 5 years
a)Get paid from China, taxable;
b)Get paid from outside China, taxable;
c)No portion of income to be treated as tax free even for those days off China.。