Shareholders of the company pay dividend tax. According to the individual income tax law, generally speaking, the after-tax profits of enterprises should be distributed to shareholders. Personal income tax shall also be levied on the interest, dividends and bonus income obtained by shareholders. Calculation method of shareholders' dividends:
1. Individual shareholders shall pay personal income tax at 20% of the dividends due.
2. Dividends obtained from listed companies can be taxed by half.
3. No matter whether the dividends received by foreigners are listed companies or not, there is no need to pay taxes.
4, resident enterprises from other resident enterprises to obtain investment dividend income tax-free.
5. Shareholders of overseas non-resident enterprises receive dividends from China resident enterprises in 2008 and beyond, and pay enterprise income tax at the rate of 10%.
Other income may also need to be included in personal income tax. If you are a shareholder of a company, the company is in good operating condition every year, and you can get a certain dividend every year, then you need to pay personal income tax for dividends.
Legal basis:
Article 2 of the Individual Income Tax Law of People's Republic of China (PRC) shall be subject to individual income tax: (1) Income from wages and salaries; (2) Income from remuneration for labor services; (3) Income from remuneration; (4) Income from royalties; (5) Operating income; (6) Income from interest, dividends and bonuses; (7) Income from property lease; (8) Income from property transfer; (9) Accidental income. Individual residents who obtain income from items 1 to 4 of the preceding paragraph (hereinafter referred to as comprehensive income) shall calculate individual income tax according to the tax year; Non-resident individuals who obtain income from items 1 to 4 of the preceding paragraph shall calculate individual income tax on a monthly or itemized basis. Taxpayers who obtain income from items 5 to 9 of the preceding paragraph shall calculate individual income tax separately in accordance with the provisions of this law.
Derivative problem:
Do shareholders of the company have to pay taxes on dividends?
Shareholders of the company pay dividend tax. According to the individual income tax law, generally speaking, the after-tax profits of enterprises should be distributed to shareholders. Personal income tax shall also be levied on the interest, dividends and bonus income obtained by shareholders. Calculation method of shareholders' dividends:
1. Individual shareholders shall pay personal income tax at 20% of the dividends due.
2. Dividends obtained from listed companies can be taxed by half.
3. No matter whether the dividends received by foreigners are listed companies or not, there is no need to pay taxes.
4, resident enterprises from other resident enterprises to obtain investment dividend income tax-free.
5. Shareholders of overseas non-resident enterprises receive dividends from China resident enterprises in 2008 and beyond, and pay enterprise income tax at the rate of 10%.