The scope of personal income tax includes:
(1) Income from wages and salaries
Income from wages and salaries refers to the income earned by individuals as a result of their employment or employment. Wages, salaries, bonuses, year-end salary increases, labor dividends, allowances, subsidies and other income related to office or employment.
Bonuses refer to all bonuses with a salary nature. The scope of tax-free bonuses is otherwise stipulated in the tax law.
(2) Income from labor remuneration
Income from labor remuneration refers to the income obtained by individuals independently performing various non-employment services. Including design, decoration, installation, drawing, laboratory testing, medical treatment, law, accounting, consulting, lecturing, translation, review, calligraphy and painting, sculpture, film and television, audio and video recording, performances, performances, advertising, exhibitions, technical services, introduction Services, brokerage services, agency services and other labor services.
(3) Income from author remuneration
Income received by individuals from the publication or publication of their works in the form of books, newspapers and periodicals. After the author's death, the remuneration for the posthumous work obtained by the property heirs shall also be levied personal income tax according to this item.
(4) Income from royalties
Income from royalties refers to the right to use patents, trademarks, copyrights, non-patented technologies and other franchises provided by individuals. income obtained.
(5) Business income
Includes four aspects:
1. Income obtained by individual industrial and commercial households from production and business activities. Investors in sole proprietorships , the individual partners of a partnership enterprise derive their income from the production and operation of the domestically registered individual proprietorship enterprise or partnership enterprise.
For individual industrial and commercial households, the owner is the individual income tax payer.
2. Income obtained by individuals from running schools, medical treatment, consulting and other paid service activities in accordance with the law.
3. Income obtained by individuals from contracting operations, leasing operations, subcontracting, and subletting of enterprises and institutions.
4. Income obtained by individuals from other production and business activities. For example: income earned by an individual from engaging in the lottery sales business; income earned by a taxi driver engaged in individual taxi operations.
(6) Interest, dividends, and bonus income
Interest, dividends, and bonus income refer to the interest, dividend, and bonus income obtained by individuals owning debts and equity.
Individual shareholders who obtain increased share capital shall be levied personal income tax at a rate of 20% according to the items of "interest, dividends, and bonus income".
(7) Income from property leasing
Income from property leasing refers to the income obtained by individuals from leasing real estate, machinery and equipment, vehicles, ships and other properties.
The income from property sublease obtained by individuals falls within the tax scope of "property lease income".
If the property owner dies and the property is rented out and there is rental income during the period when the property rights inheritance procedures have not been completed, the individual receiving the rent shall be the taxpayer.
(8) Income from property transfer
Income from property transfer refers to the transfer of securities, equity, property shares in partnerships, real estate, machinery and equipment, vehicles and ships, and other properties by individuals. income obtained.
(9) Incidental income
Accidental income refers to personal income from winning a prize, winning a prize, winning a lottery, and other incidental income.