First, the tax calculation method of rental income
According to the provisions of the tax law, the taxation method of personal income tax on rental income mainly adopts the combination of withholding and annual settlement. Specifically, when the lessor obtains the rental income every month or every time, it needs to withhold the tax in advance according to the prescribed tax rate and tax basis; By the end of the year, it will be settled according to the actual rental income obtained in the whole year, and more refunds will be made and less subsidies will be made.
Two, the rental income tax rate and tax basis
The tax law stipulates that the tax rate of rental income varies according to the income level. Generally speaking, rental income is taxed at a certain tax rate after deducting related expenses. At the same time, the tax law also stipulates the method of determining the tax basis, including the confirmation of rental income and the deduction of related expenses.
Three. Declaration and payment of individual income tax on rental income
After individuals obtain rental income, they need to declare and pay taxes according to the time node stipulated in the tax law. Generally speaking, the lessor needs to submit the relevant declaration materials to the tax authorities within the prescribed time limit and pay the withholding income tax after obtaining the rental income every month or every time. At the end of the year, the final settlement should be made to ensure the accurate payment of taxes throughout the year.
Fourth, matters needing attention
When individuals declare and pay personal income tax on rental income, they need to pay attention to the following matters: First, ensure the authenticity and integrity of the declaration materials, and avoid underreporting and misstatement; Secondly, we should pay attention to the latest changes in tax laws and regulations and understand and adapt to the new tax policy in time; Finally, the relevant vouchers and materials should be properly kept for inspection by the tax authorities.
To sum up:
Personal income tax on rental income is a tax levied on the income obtained by individuals renting houses and other property. After individuals obtain rental income, they need to declare and pay taxes according to the tax method, tax rate and tax basis stipulated in the tax law. In the process of declaration and payment, individuals need to pay attention to related matters to ensure accurate tax payment.
Legal basis:
Individual Income Tax Law of the People's Republic of China
Article 2 provides that:
The following personal income shall be subject to personal income tax:
(1) Income from wages and salaries;
(2) Income from remuneration for labor services;
(3) Income from remuneration;
(4) Income from royalties;
(5) Operating income;
(6) Income from interest, dividends and bonuses;
(7) Income from property lease;
(8) Income from property transfer;
(9) Accidental income.
Individual residents who obtain income from items 1 to 4 of the preceding paragraph (hereinafter referred to as comprehensive income) shall calculate individual income tax according to the tax year; Non-resident individuals who obtain income from items 1 to 4 of the preceding paragraph shall calculate individual income tax on a monthly or itemized basis. Taxpayers who obtain income from items 5 to 9 of the preceding paragraph shall calculate individual income tax separately in accordance with the provisions of this law.
individual income tax law of the people's republic of china rules for its implementation
Article 6 provides that:
Personal income range stipulated in the individual income tax law:
(1) Income from wages and salaries refers to wages, salaries, bonuses, year-end salary increase, labor dividends, allowances, subsidies and other income related to employment.
(2) Income from remuneration for labor services refers to income obtained by individuals from engaging in labor services, including design, decoration, installation, drawing, testing, medical treatment, law, accounting, consulting, lecturing, translation, manuscript review, painting and calligraphy, sculpture, film and television, audio and video recording, performance, performance, advertisement, exhibition, technical service, introduction service and brokerage service.
(3) Income from royalties refers to income obtained by individuals from publishing their works in the form of books, newspapers and periodicals.
(4) Income from royalties refers to income obtained by individuals from providing patents, trademarks, copyrights, the right to use non-patented technologies and other franchises; The income from providing the right to use copyright does not include the income from remuneration.
(5) Operating income refers to:
1. The income from the production and operation of individual industrial and commercial households, investors of sole proprietorship enterprises and individual partners of partnership enterprises comes from the income from the production and operation of sole proprietorship enterprises and partnership enterprises registered in China;
2 individuals engaged in paid service activities such as running schools, medical care and consulting according to law;
3 individuals from enterprises and institutions contracting, leasing, subcontracting, subletting income;
Individuals engaged in other production and business activities.
(6) Income from interest, dividends and bonuses refers to income from interest, dividends and bonuses obtained by individuals with creditor's rights and equity.
(7) Income from property leasing refers to income obtained by individuals from renting real estate, machinery and equipment, vehicles, boats and other property.
(8) The term "income from property transfer" refers to the income obtained by individuals from the transfer of securities, stock rights, partnership property shares, real estate, machinery and equipment, vehicles, boats and other property.
(9) Accidental income refers to personal winning prizes, winning prizes, winning lottery tickets and other accidental income.
If it is difficult to define taxable income items for personal income, it shall be determined by the competent tax authorities in the State Council.