Online Personal Income Tax Calculator (2023 Edition)

I. Scope of collection

Income from labor remuneration refers to the income obtained by an individual for engaging in design, decoration, installation, drafting, testing, medical, legal, accounting, consulting, lecturing, journalism, broadcasting, translation, review, calligraphy, sculpture, film, recording, performance, advertising, exhibition, technical services, introduction services, brokerage services, agency services, and other labor services.

II. Tax rate

Explanation: 1. The taxable brackets with and without tax in the table are all the income after deducting the relevant expenses in accordance with the tax law.

2. The taxable bracket with tax applies to labor remuneration income where the taxpayer bears the tax; the taxable bracket without tax applies to labor remuneration income where the tax is paid by others (units).

III. Calculation of taxable income and tax payable

Labor remuneration income is calculated and taxed on a per-occasion basis. If the income per occasion does not exceed 4000 yuan, deduct 800 yuan of expenses. If the income exceeds 4000 yuan, deduct 20% of the expenses, and the balance is the taxable income.

Tax payable = Taxable income × Applicable tax rate - Quick deduction number

IV. Additional collection

The labor remuneration income is subject to a proportional tax rate, which is 20%. For labor remuneration income with abnormally high income in one time, an additional collection is implemented, that is: the part of the taxable income exceeding 20,000 yuan to 50,000 yuan is subject to an additional 50% collection (i.e., the tax rate is 30%), and the part exceeding 50,000 yuan is subject to an additional 100% collection (i.e., the tax rate is 4%).

I. Tax Collection Scope

Income from the production and operation of individual industrial and commercial households refers to:

(1) Income obtained from individual industrial and commercial households engaged in industry, handicrafts, construction, transportation, commerce, catering, service industry, repair industry, and other industries for production and operation;

(2) Income obtained from individuals who, with the approval of ** relevant departments, obtain a license and engage in educational, medical, consulting, and other paid service activities;

(3) Income obtained from other individuals engaged in the production and operation of individual industrial and commercial activities;

(4) Various taxable incomes related to production and operation obtained by the above-mentioned individual industrial and commercial households and individuals.

II. Tax Rates

【Explanation 1】The tax-inclusive and tax-exclusive ranges listed in this table are all the income amounts after deducting costs, expenses, and losses from the total income of each tax year according to the tax law.

【Explanation 2】The tax-inclusive range is applicable to the income from the production and operation of individual industrial and commercial households and the income from the operation and lease operation of enterprises and institutions that the taxpayer bears the tax; the tax-exclusive range is applicable to the income from the operation and lease operation of enterprises and institutions that others (units) pay the tax on behalf of.

【Explanation 3】If an investor establishes two or more enterprises (including participating in the establishment), at the end of the year, the taxable income obtained from all enterprises should be consolidated to determine the applicable tax rate and calculate and pay the personal income tax.

III. Calculation of Taxable Income and Tax Payable

Taxable Income = Total income of each tax year - Costs, expenses, and losses

Tax Payable = Taxable Income × Applicable Tax Rate - Quick Deduction

The above tax calculation method is applicable to individual industrial and commercial households with account checking collection and is not applicable to those with designated collection.

I. Collection Scope

The income from the contracting and leasing management of enterprises and institutions refers to the income obtained by individuals from contracting and leasing management, as well as subcontracting and subleasing, including the income of individuals obtained monthly or per time in the nature of wages and salaries.

(1) The income from the contracting and leasing management of enterprises and institutions must be the income that the contractor and lessee have the right to the operating results of the enterprises and institutions. The contractor and lessee, according to the provisions of the contract (agreement), only pay a certain fee to the contracting and leasing party, and the operating results belong to their income.

(2) If the contractor and lessee do not have ownership of the enterprise's operating results and only obtain a certain income according to the provisions of the contract (agreement), their income is taxed according to the wage and salary income items.

(3) After the enterprise implements individual contracting and leasing management, if the industrial and commercial registration is changed to an individual business, it should be planned to pay personal income tax according to the production and business income items of individual businesses.

(4) The income from contracting and leasing management includes the income of individuals obtained monthly or per time in the nature of wages and salaries.

II. Tax Rate

Enterprises and Institutions Contracting and Leasing Management Income Tax

Explanation:

1. The tax brackets in this table refer to the total income of each tax year, minus the balance of costs, expenses, and losses.

2. The tax brackets including tax apply to the production and business income of individual businesses and the contracting and leasing management income of enterprises and institutions. The tax brackets excluding tax apply to the contracting and leasing management income where the tax is paid by others (units).

3. If an investor establishes two or more enterprises (including participation), at the end of the year, the taxable income obtained from all enterprises should be summarized, and the applicable tax rate should be determined to calculate and pay personal income tax.

III. Calculation of Taxable Income and Tax Payable

(1) Taxable Income

The income from the contracting and leasing management of enterprises and institutions is the balance of the total income of each tax year, minus the necessary expenses, as the taxable income. Among them, the total income refers to the business profits and income in the nature of wages and salaries that the taxpayer receives according to the contracting and leasing management contract. If an individual's contracting and leasing management income has both the nature of wages and salaries and the nature of production and business, but considering that the individual receives business profits according to the contracting and leasing management contract, the production and business costs involved, the "necessary expenses" stipulated by the personal income tax law "minus necessary expenses" refers to a monthly deduction of 3500 yuan, which is actually the equivalent of an individual's livelihood and other expenses. The calculation formula is:

Taxable Income = Total income from individual contracting and leasing management - 3500 yuan per month

During the period of contracting and leasing, according to the relevant provisions of the corporate income tax, "If the name of the leased enterprise is not changed after the contracting and leasing management, and the industrial and commercial registration is not changed, and the production and business activities are still carried out in the name of the leased enterprise, regardless of how the leased enterprise and the contracting party distribute the operating results, the leased enterprise is the taxpayer." That is, corporate income tax should be paid first according to the relevant provisions of the corporate income tax, and then personal income tax should be calculated and paid according to the provisions of the individual contracting income.

(2) Calculation method of the tax payable

The income from the contracting and leasing management of enterprises and institutions is subject to a five-tier progressive tax rate, and the tax payable is calculated according to the applicable tax rate based on the taxable income. The calculation formula is:

Tax Payable = Taxable Income × Applicable Tax Rate - Quick Deduction

Example: Xiao Li contracted a certain store in 2023, with a contract period of 1 year, and obtained a contracting income of 4,000 yuan. In addition, Zhang also received a salary from the store every month, 3,000 yuan per month. Calculate the personal income tax that Zhang should pay for the whole year.

Solutions:

(1) Annual taxable income = (40000 + 12 × 3000) - 12 × 3500 = 34000 (yuan)

(2) Annual personal income tax payable = 34000 × 30% - 4250 = 595 (yuan)

Taxpayers who engage in contracting or leasing operations shall calculate their taxes based on the income from contracting or leasing operations for each tax year. If a taxpayer receives income from contracting or leasing operations multiple times within a year, they shall prepay taxes each time they receive such income, and at the end of the year, they shall consolidate and settle their accounts, refunding excess or making up for shortages. If the contracting or leasing period of a taxpayer is within a tax year and the operation is less than 12 months, the actual contracting or leasing period shall be used as a tax year for tax calculation. The calculation formula is:

Taxable income = Annual contracting or leasing income - (3500 × the actual number of months of contracting or leasing in that year)

Tax payable = Taxable income × applicable tax rate - quick deduction amount

Example: Xiao Li started contracting a store of an organization from May 1, 2023, and after operating for 5 months, he obtained a total operating income of 200,000 yuan, and the total amount of expenses related to the operating income allowed to be deducted was 100,000 yuan. Calculate the personal income tax payable for this individual's contracting or leasing income.

Solution:

(1) Contracting or leasing income = 200000 - 100000 = 100000 (yuan)

(2) Taxable income for contracting or leasing = 100000 - 3500 × 5 = 82500 (yuan)

(3) Personal income tax payable for contracting or leasing income = 82500 × 35% - 6750 = 22125 (yuan)

I. Scope of Collection

Royalties income refers to the income obtained by an individual for the publication and publication of their literary (or photographic, calligraphic, and other) works in the form of books, newspapers, etc. It includes the income obtained from royalties and reprints. After the author's death, the person who obtains the royalties of his posthumous works is still subject to personal income tax on royalties income. The "works" mentioned here refer to works that can be published and published in the form of books and newspapers, including text, pictures, music scores, etc.

II. Tax Rate

The income from royalties is subject to a proportional tax rate of 20%, and the tax payable is reduced by 30%, so the actual tax rate is 14%.

III. Calculation of Taxable Income and Tax Payable

The income from royalties is based on the balance after deducting the fixed amount or rate expenses from the income obtained by the individual each time. If the income each time does not exceed 4000 yuan, deduct 800 yuan; if it is more than 4000 yuan, deduct 20% of the expenses, and the balance is the taxable income.

1. If the income each time does not exceed 4000 yuan

Tax payable = Taxable income × Applicable tax rate

Or Tax payable = (Income each time - 800) × 20%

Actual tax payable = Tax payable × (1 - 30%)

2. If the income each time is more than 4000 yuan

Tax payable = Taxable income × Applicable tax rate

Or Tax payable = Income each time × (1 - 20%) × 20%

Actual tax payable = Tax payable × (1 - 30%)

I. Scope of Collection

Income from royalties for the use of copyrighted material refers to the income obtained by an individual for providing the right to use patents, trademarks, copyrights, non-patent technologies, and other copyrights; among them, the income obtained from providing the right to use copyrights does not include income from royalties. The income obtained by the author for publicly auctioning (bidding) the original manuscript or a copy of his literary work should be subject to personal income tax under the project of income from royalties for the use of copyrighted material.

The scriptwriter obtains the script usage fee from the film and television production unit, and no longer distinguishes whether the user of the script is its employer, and is uniformly levied personal income tax under the project of income from royalties for the use of copyrighted material.

Income obtained by non-unit personnel collaborating with news and publishing unit personnel on topics or academic papers that have not been published but obtained from the cooperating unit, personal income obtained from patent compensation, etc., should all be levied personal income tax under the project of income from royalties for the use of copyrighted material.

II. Tax Rate

Income from royalties for the use of copyrighted material is subject to a proportional tax rate of 20%.

III. Calculation of Taxable Income and Tax Payable

Income from royalties for the use of copyrighted material is based on the income obtained from the transfer of the right to use or ownership as one time. The balance after deducting the fixed amount or rate expenses from the income obtained by the individual each time is the taxable income. If the income each time does not exceed 4000 yuan, deduct 800 yuan; if it is more than 4000 yuan, deduct 20% of the expenses, and the balance is the taxable income.

1. If the income each time does not exceed 4000 yuan

Tax payable = Taxable income × Applicable tax rate

Or Tax payable = (Income each time - 800 yuan) × 20%

2. If the income each time exceeds 4000 yuan

Tax payable = Taxable income × Applicable tax rate

Or Tax payable = Taxable income × (1 - 20%) × 20%

IV. Determination of "Time"

Income from royalties for the use of copyrighted material is based on the income obtained from one-time licensing of a copyright. If the income obtained from this transfer is paid in installments, the income from each installment should be added together as one time, that is, the income is consolidated for the levy of personal income tax.

Property lease income is subject to a 20% proportional tax rate

Preferential policy: For individuals who rent residential housing to others at market prices and obtain property lease income, personal income tax is temporarily levied at a rate of 10% from January 1, 2001.

I. Scope of Collection

Income from interest, dividends, and bonuses refers to the income derived from an individual's ownership of debts, equity, and the interest, dividends, and bonuses obtained therefrom.

Interest refers to the income derived from an individual's ownership of debts, including interest on deposits, loans, and various bonds. According to tax law, individuals are exempt from personal income tax on national treasury bonds and financial bonds issued by the state, and the income from individual savings interest is temporarily exempt from personal income tax collection.

Dividends and bonuses refer to the dividends and bonuses obtained by an individual from their ownership of equity. The interest paid on a per-share basis according to a certain ratio is called a dividend; the profits that a company or enterprise should distribute, allocated according to shares, are called a bonus. Except as otherwise provided, income from interest, dividends, and bonuses should be subject to personal income tax.

II. Tax Rate

The income from interest, dividends, and bonuses is subject to a proportional tax rate of 20%.

III. Calculation of Taxable Income and Tax Payable

The income from interest, dividends, and bonuses is based on the individual's income each time, without deducting any expenses.

Tax payable = Taxable income × Applicable tax rate = Income per time × 20%

IV. Determination of "Time"

The income from interest, dividends, and bonuses is considered as one time when the payment unit or individual pays the interest, dividends, and bonuses, and the income obtained by the individual.

I. Scope of Collection

Windfall income refers to the income obtained by an individual through winning awards, lottery prizes, and other windfall gains. One-time reward income obtained by individuals in various industries for making outstanding contributions from the people's governments below the provincial level and their affiliated departments (regardless of the source of the bonus) also falls within the scope of taxation for windfall income.

II. Tax Rate

The windfall income is subject to a proportional tax rate of 20%.

III. Calculation of Taxable Income and Tax Payable

Windfall income is based on the income obtained by an individual each time as the taxable income, without deducting any expenses. Each time the income is obtained, it is considered one time.

Tax payable = Taxable income × Applicable tax rate = Income per time × 20%

IV. Case

Question: Chinese citizen Zhang San won a prize in December 2023, obtaining windfall income of 20,000 yuan. How much personal income tax should the paying unit withhold and pay on behalf?

Analysis: For the distribution of windfall income, the unit should withhold and pay the following personal income tax on behalf:

Withheld personal income tax = 20,000 × 20% = 4,000 (yuan)