China - Special considerations for short-term assignments
China - Special considerations for short-term ass...
Taxation of international executives
For the purposes of this publication, a short-term assignment is defined as an assignment that lasts for less than one year.
Residency rules
Are there special residency considerations for short-term assignments?
No. The determination of residency status for short-term assignees is the same as discussed in preceding sections.
Payroll considerations
Are there special payroll considerations for short-term assignments?
No.
Taxable income
What income will be taxed during short-term assignments?
Unless exempt, under treaty or PRC tax law, all China-source income is subject to tax. Generally, compensation paid for services performed in China is China-source income.
Additional considerations
Are there any additional considerations that should be considered before initiating a short-term assignment in China?
No.
Disclaimer
All information contained in this publication is summarized by KPMG Advisory (China) Limited, the China member firm affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity, based on the PRC Individual Income Tax Law (Presidential Decree No. 9) and implementation regulations (State Council Order No. 707); the website of the PRC tax authorities; the website of the PRC social security authorities.
© 2021 KPMG Advisory (China) Limited, a wholly foreign owned enterprise in China and KPMG Huazhen, a Sino-foreign joint venture in China, are member firms of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
KPMG International Cooperative (“KPMG International”) is a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm.
