Since most individual residents in China work in the employing unit, the individual income tax of this individual resident is paid by the employing unit, and the corresponding tax bureau will refund the handling fee of 2%. 1. Personal income tax handling fee What is the handling fee for collecting personal income tax? Companies that withhold and pay personal income tax can apply to the local local tax bureau, and the tax authorities will pay a handling fee of 2% of the tax collected. This is because the personal income tax withheld and remitted by the company does not belong to the daily work of the company, but works for the tax bureau, so it should be paid appropriately. Second, the use of personal income tax expenses First of all, there are clear regulations on the use of this expense: 1, the notice of the People's Bank of China, State Taxation Administration of The People's Republic of China and the Ministry of Finance on further strengthening the management of withholding and remitting fees (Caixing [2005] No.365), and (6) the fee income obtained by the' third generation' units should be accounted for separately and incorporated into the unit income for' third generation' management. 2. The Interim Measures for the Withholding and Remittance of Individual Income Tax (Guo Shui Fa [1995] No.065) stipulates that "the withholding agent shall pay a 2% handling fee according to the tax withheld. Withholding agents can use it to withhold and pay fees and reward taxpayers who have done well in withholding and paying taxes. " According to the provisions of the above-mentioned documents, enterprises should obtain the refund of personal income tax withheld and remitted on behalf of handling fees for two purposes, one is for the management expenses of withholding and remitted work, and the other is for rewarding relevant staff. Relevant regulations on individual income tax for individuals to obtain this handling fee: 1, Notice of the Ministry of Finance on Several Policy Issues Concerning Individual Income Tax in State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) (Caishuizi [1994] No.20) "II. Personal income tax is temporarily exempted for the following income: (5) withholding and remitting fees obtained by individuals after going through the formalities of withholding and remitting taxes. " 2. Article 2 of the Notice of State Taxation Administration of The People's Republic of China City, People's Republic of China (PRC) on Tax Exemption of Personal Income Tax Fee Income from Withholding and Paying Interest on Savings Deposits (Guo Shui Fa [200 1] No.31) stipulates that "personal income tax shall be exempted for withholding and paying interest fee income obtained by tax personnel in savings institutions." It should be said that the above two provisions are sufficient to show that the handling fee exempted from personal income tax should only refer to the withholding handling fee obtained by the relevant personnel who have gone through the withholding formalities according to the regulations, and if the company uses this money as a bonus or collective welfare to reward unrelated personnel, it should be incorporated into the employees' current wages and salaries to collect personal income tax. For example, the Notice of Chongqing Local Taxation Bureau on Defining Relevant Policies of Individual Income Tax (No.263 [2007] of Chongqing Local Taxation Bureau) clearly stipulates that the fifth paragraph of Article 2 of the Notice of People's Republic of China (PRC) and State Taxation Administration of The People's Republic of China of the Ministry of Finance on Relevant Policies of Individual Income Tax (Caishuizi [1994] No.020) stipulates that individuals who go through the formalities of withholding and remitting are temporarily exempted from collecting individual income tax. The scope of tax exemption is defined as: individual income tax is temporarily exempted for the service fee awards issued to specific taxpayers, and individual income tax is still paid for the service fee awards issued to expand the scope according to the provisions of the tax law. "three. The collection and management of personal income tax in China is mainly based on source withholding and self-declaration, with the emphasis on source withholding. The collection methods of personal income tax can be divided into monthly collection and annual collection Income from production and operation of individual industrial and commercial households, income from contracted operation and lease operation of enterprises and institutions, income from wages and salaries of specific industries and income obtained outside China shall be taxed on an annual basis, and the taxable amount of other income shall be taxed on a monthly basis. According to the law, it can be known that the handling fee for collecting personal income tax means that companies that withhold and remit personal income tax can apply to the local local tax bureau, and the tax authorities will pay a handling fee of 2% of the tax collected.

Legal objectivity:

Article 29 of the Law on the Administration of Tax Collection No unit or individual may conduct tax collection activities except tax authorities, tax personnel and units and personnel entrusted by tax authorities in accordance with laws and administrative regulations. Legal basis: Calculation of taxable income in Article 6 of Individual Income Tax Law of People's Republic of China (PRC): 1. For income from wages and salaries, the taxable income shall be the balance of monthly income after deducting expenses of 3,500 yuan. Two, the income from the production and operation of individual industrial and commercial households, with the balance of the total income of each tax year after deducting costs, expenses and losses as taxable income. Three, enterprises and institutions contracted and leased business income, with the total income of each tax year, after deducting the necessary expenses, the balance of taxable income. Four, income from labor remuneration, royalties, property rental income, each income does not exceed 4000 yuan, minus 800 yuan; If it exceeds 4,000 yuan, 20% of the expenses will be deducted, and the balance will be taxable income. Five, the income from the transfer of property, the balance of the income from the transfer of property after deducting the original value of the property and reasonable expenses is the taxable income. Six, interest, dividends, bonus income, accidental income and other income, for each taxable income. Individual donations to education and other public welfare undertakings shall be deducted from taxable income in accordance with relevant regulations of the State Council. For taxpayers who have no domicile in China but get income from wages and salaries, and taxpayers who have domicile in China but get income from wages and salaries outside China, additional deductions can be determined according to their average income level, living standard and exchange rate changes. The applicable scope and standard of additional deduction shall be stipulated by the State Council.