For personal income tax, I believe many friends are familiar with it, and they all know it more or less. Many of them don't pay personal income tax because of their wages, but they don't know how their personal income tax is calculated. Next, I will take Shanghai as an example to introduce how the personal income tax in Shanghai is calculated.
1. How to calculate individual income tax in Shanghai?
Taxable income = monthly income -5000 yuan (tax exemption)-special deduction (three insurances and one gold, etc. )-special additional deduction-other deductions determined according to law.
Payroll tax = taxable income × payroll tax rate
Special additional deductions include: children's education, continuing education, serious illness medical care, housing loan interest, housing rent, and support for the elderly.
Personal income tax rate standard:
1, the salary range is between1-5,000 yuan, including 5,000 yuan, and the applicable personal income tax rate is 0%;
2. If the salary is between 5000 yuan and 8000 yuan, including 8000 yuan, the applicable personal income tax rate is 3%;
3. If the salary is within the range of 8000- 17000 yuan, including 17000 yuan, the applicable personal income tax rate is10%;