Ablean Saoud and Sarah Langborne discuss the Chinese Government’s reforms to personal taxes – the largest in China in decades.
The Chinese Government introduced reforms to personal taxes on August 31 – the largest such reforms in China in decades. The reforms will fundamentally change the method (and rates) by which tax is collected, and also impose new tax residency rules. The Individual Income Tax (IIT) reforms will take full effect from 1 January 2019, while the revised standard personal deduction and tax rates table will apply from 1 October 2018.
Some of the key changes which will significantly impact both locally employed and seconded employees in China are as follows:
To read more of this article, please register for KPMG Tax Now.
©2021 KPMG, an Australian partnership and a member firm of the KPMG global organisation of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organisation.
Liability limited by a scheme approved under Professional Standards Legislation.
For more detail about the structure of the KPMG global organisation please visit https://home.kpmg/governance.