Individuals who have a domicile in China or have no domicile in China for 1 year are resident taxpayers and should bear unlimited tax obligations, that is, they should pay individual income tax according to law on their income obtained in China and abroad.

The announcement mainly optimizes the withholding methods of two types of taxpayers. First, in the last complete tax year, individual residents who have withheld and declared personal income tax on wages and salaries in the same unit every month, and their annual salary income does not exceed 60,000 yuan. Second, individual residents who withhold personal income tax from labor remuneration in advance according to the cumulative withholding method, including insurance salesmen and securities brokers who earn commission income, and students who receive full-time academic education because of labor remuneration from internships.