Following Premier Li Keqiang's signing of the State Council Decree of the People's Republic of China No. 707 "Detailed Implementation Rules of the PRC Individual Income Tax (IIT) Law (DIR)", the State Council promulgated the No. 41 Notice "Provisional Implementation Measures of Additional Itemized Deductible Items (Provisional Measures)". As such, the IIT reform with the greatest magnitude in 38 years has officially begun.
Immediately thereafter, the PRC Ministry of Finance and State Administration of Taxation has released a series of announcements and notices on various issues which include the transitional arrangements from the existing to the new IIT laws, the use of taxpayer identification number, detailed guidelines on additional itemised deductions, management of tax withholding and annual reconciliation filing, and preferential treatments for tax residents such as annual bonus, equity income and non-taxable benefits (for foreigners).
These policies provide not only clarification of responsibilities and obligations of employers as withholding agents, but also further guidance for taxpayers' attention under the new IIT law.
In this seminar, professionals from PwC will share with members their analysis and interpretations of the IIT reform, the new regulations and their impacts on both employers and taxpayers, so as to help you get ready for the implementation of the IIT reform.