If the tax law stipulates that the income obtained by individuals is in foreign currency, it shall be converted into RMB to calculate the tax payable, and it shall be converted according to the foreign exchange quotation (buying price) published by the People's Bank of China on the last day of 1 month. In accordance with the provisions of the tax law, if it is necessary to make final settlement after the end of the year, the income that has been paid in advance on a monthly or monthly basis will not be re-converted, and only part of the taxable income will be converted into RMB according to the foreign exchange settlement price (buying price) announced by the People's Bank of China on the last day of the previous year to calculate the taxable amount.

For example, in February of 1997, the salary of foreign individuals in a joint venture was $65,438+4,000. How much personal income tax should taxpayers pay?

(1) First, convert US dollars into RMB according to the foreign exchange rate 1997 12.3 1, and the benchmark exchange rate of US dollars against RMB 1997 12.34000? 8.3 = 33,200 yuan

(2) Taxable amount = (33200-4000) × 25%-1375 = 5925 (yuan)