Calculation of taxable income according to Article 6 of the Individual Income Tax Law of People's Republic of China (PRC):
(1) For the comprehensive income of individual residents, the taxable income shall be the income after deducting expenses of 60,000 yuan, special additional deductions and other deductions determined according to law.
(2) For the income from wages and salaries of non-resident individuals, the taxable income shall be the balance of monthly income after deducting expenses of 5,000 yuan; Income from remuneration for labor services, remuneration for manuscripts and royalties shall be taxed.
(3) For operating income, the taxable income shall be the balance of the total income in each tax year after deducting costs, expenses and losses.
(four) if the income from property leasing does not exceed 4,000 yuan each time, the 800 yuan shall be deducted; If it exceeds 4,000 yuan, 20% of the expenses will be deducted, and the balance will be taxable income.
(5) For the income from property transfer, the taxable income shall be the balance after deducting the original value of the property and reasonable expenses from the income from property transfer.
(6) Interest, dividends, bonus income and contingent income shall be limited to the taxable income each time.
Income from remuneration for labor services, remuneration for manuscripts and royalties shall be the balance after deducting expenses. The amount of remuneration should be reduced by 70%.
Individuals donate their income to public welfare charities such as education, poverty alleviation and poverty alleviation, and the part of the donation that does not exceed 30% of the taxable income declared by taxpayers can be deducted from their taxable income; If the State Council stipulates that donations to charity should be fully deducted before tax, such provisions shall prevail.
The special deduction specified in item 1 of the first paragraph of this article includes social insurance premiums such as basic old-age insurance, basic medical insurance, unemployment insurance and housing accumulation fund paid by individual residents in accordance with the scope and standards prescribed by the state; Special additional deductions include children's education, continuing education, medical treatment for serious illness, housing loan interest or housing rent, support for the elderly and other expenses. The specific scope, standards and implementation steps are determined by the State Council and reported to the NPC Standing Committee for the record.
Extended data:
The Regulations for the Implementation of the Individual Income Tax Law of the People's Republic of China refers to the costs and expenses mentioned in Item 3 of Paragraph 1 of Article 6 and Article 15 of the Individual Income Tax Law, and refers to the direct and indirect expenses included in production and business activities, as well as sales expenses, management expenses and financial expenses; The so-called loss refers to the loss caused by force majeure factors such as inventory loss, damage, scrapping, loss of transferred property, loss of bad debts and natural disasters in production and business activities.
If an individual who obtains business income has no comprehensive income, when calculating his taxable income in each tax year, he shall deduct 60,000 yuan, special additional deduction, special additional deduction and other deductions determined according to law. Special additional deduction shall be deducted at the time of final settlement. Engaged in production and business activities, do not provide complete and accurate tax information, can not correctly calculate the taxable income, should be approved by the competent tax authorities.
Baidu Encyclopedia-People's Republic of China (PRC) Individual Income Tax Law