According to the individual income tax law, generally speaking, the after-tax profits of enterprises should be distributed to shareholders. Personal income tax shall also be levied on the interest, dividends and bonus income obtained by shareholders. Calculation method of shareholders' dividends:
1. Individual shareholders pay individual income tax at 20% of the dividends due;
2. Dividends obtained from listed companies can be taxed by half;
3. No matter whether the dividends received by foreigners are listed companies or not, there is no need to pay taxes;
4, resident enterprises from other resident enterprises to obtain investment dividend income tax exemption;
5. Shareholders of overseas non-resident enterprises receive dividends from China resident enterprises in 2008 and beyond, and pay enterprise income tax at the rate of 10%.
Tax standard for dividend payment:
1. Individual shareholders shall pay a dividend of 20%;
2. Dividends obtained from listed companies shall be taxed by half;
3. Dividends obtained by foreigners need not be taxed;
4. Dividends obtained between resident enterprises do not need to be taxed;
5. After 2008, dividends obtained by overseas non-resident enterprises from domestic resident enterprises shall be taxed at a reduced rate of 10%;
6. Individual shareholders who hold shares of listed companies within one month shall be taxed at 20% of dividends;
7. Individual shareholders who hold shares of listed companies for one month to one year shall pay taxes at the rate of dividend 10%;
8. Individual shareholders who hold shares of listed companies for more than one year shall be taxed at the rate of 5% of dividends.
To sum up, the Tax Administration Law clearly stipulates that shareholders' dividend income needs to be taxed and shareholders need to pay personal income tax. The specific collection standard of personal income tax is that those who receive dividends from listed companies are taxed at 10% of dividend income, and the proportion of shareholders of ordinary companies paying personal income tax is also 20%.
Legal basis:
Article 3 of the Individual Income Tax Law
(1) For comprehensive income, the excess progressive tax rate of 3% to 45% is applicable (the tax rate table is attached);
(2) For operating income, the excess progressive tax rate of 5% to 35% shall apply (the tax rate table is attached);
(3) Income from interest, dividends and bonuses, income from property leasing, income from property transfer and accidental income shall be subject to the proportional tax rate of 20%.