Reply of State Taxation Administration of The People's Republic of China on the issue of withholding and remitting individual income tax by administrative organs
Guoshuihan [2004] 1 199 No.
Local Taxation Bureau of Guangxi Zhuang Autonomous Region:
Your request for instructions on the legal liability of administrative organs for withholding and remitting individual income tax (No.45 [2004] of Guangxi Local Taxation News) has been received. After study, the reply is as follows:
I. Identification of withholding agents for individual income tax
According to Article 8 of the Individual Income Tax Law of People's Republic of China (PRC) (hereinafter referred to as the Individual Income Tax Law), the administrative organ is the withholding agent of individual income tax. When paying wages, bonuses, subsidies and other wages and salaries to employees, personal income tax shall be withheld and remitted according to law.
Two, about the legal responsibility of withholding agents should withhold tax.
Before May of 200 1, 1, the withholding agent shall pay the withholding income tax in accordance with the revised Law of People's Republic of China (PRC) on Tax Collection and Administration (hereinafter referred to as the Law on Tax Collection and Administration). After May of 2000 1 and1,the withholding agent shall be instructed by the tax authorities to recover the tax from the taxpayer in accordance with the revised tax collection and management law and the Notice of State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) on Several Specific Issues Concerning the Implementation of the People's Republic of China (PRC) Tax Collection and Management Law and its Detailed Rules (Guo Shui Fa [2003] No.47).
Three, about whether the withholding tax should be charged a late fee.
According to the principles stipulated in the Tax Administration Law, withholding agents should deduct unpaid taxes, and no matter whether the tax administration law before or after the revision is applied, taxpayers or withholding agents may be charged late fees.