China Resident Income Tax Calculator
Annual wages and salary income tax estimate for Chinese tax residents under official progressive brackets (3%–45%).
How It Works & Methodology
Under the Individual Income Tax (IIT) Law of the People's Republic of China, resident individuals calculate wages and salary tax on an annual cumulative basis using the comprehensive progressive rate schedule (3% to 45%). Taxable income is calculated after deducting the annual standard basic threshold of RMB 60,000, employee-paid social insurance and housing provident fund contributions (五险一金), and eligible special additional deductions (专项附加扣除). This calculator focuses specifically on wages and salary income; other comprehensive income categories (such as personal service fees, author remuneration, and royalties) require statutory 20% expense deduction and 70% preprocessing adjustments under Article 6 and are not included.
Key Assumptions & Scope:
- Applicable to Chinese tax residents earning wages and salaries.
- Statutory basic standard deduction is fixed at RMB 60,000 per year (RMB 5,000/month).
- Progressive tax brackets range from 3% to 45% with official quick deduction amounts (Source reviewed 2026-10-30).
- Does not include annual one-off bonus preferential separate taxation, non-resident tax rules, or non-salary income types requiring separate statutory adjustments.
Frequently Asked Questions
What is the standard personal deduction for Chinese tax residents?
Under the Individual Income Tax Law Article 6, the statutory basic standard deduction for resident individuals is RMB 60,000 per calendar year (equivalent to RMB 5,000 per month).
What are Special Additional Deductions (专项附加扣除)?
Eligible statutory deductions defined under Chinese tax law, including children education, continuing education, serious illness medical expenses, housing mortgage interest or rent, supporting the elderly, and infant care.
Does this calculator cover personal services or royalties?
No. This calculator is tailored specifically for wage and salary income. Under PRC tax law Article 6, remuneration for personal services, author royalties, and licensing income require separate statutory expense deductions (such as a 20% deemed cost deduction) before entering comprehensive calculation.