Ye Lin'er, deputy director of the Income Tax Department of the State Administration of Taxation, introduced that the pilot policy adopts a deferred tax model and conducts taxation from the three links of personal tax-deferred commercial pension insurance: payment, accumulation, and receipt. Discount provisions.

In the payment process, when taxpayers purchase tax-deferred commercial pension insurance products, their payment expenses can be deducted according to a certain amount, which directly reduces the individual's current tax payable, and the tax reduction effect is immediate.

In the accumulation stage, personal commercial pension fund accounts are operated by professional insurance companies, with relatively stable investment returns and long-term appreciation of account equity. The pilot policy temporarily does not levy personal income tax on the value-added in this stage, which directly increases the income of personal commercial pension insurance accounts.

In the receiving process, when individuals receive commercial pension income, they are taxed according to "other income", 25% of which is exempt from tax, and the remaining 75% is calculated at a reduced rate of 10% for personal income tax. , in the end, the actual tax burden of taxpayers was only 7.5%, which was much lower than the 20% statutory tax rate corresponding to the project.

Source: People's Daily