The individual tax rebate is the individual tax fee rebate, referred to as the tax rebate, refers to the enterprise withholding the employee's individual tax on behalf of the employee can be corresponding from the tax authorities at a rate of 2% of the rebate of the handling fee.
Article 9 of the Individual Income Tax Law of the People's Republic of China stipulates that "Individual income tax shall be payable by the taxpayers as the taxpayers, and the units or individuals who pay the income shall be the withholding agents." Article 17 of the Individual Income Tax Law of the People's Republic of China stipulates that "a handling fee of two percent shall be paid to the person liable for withholding tax in accordance with the amount of tax withheld."
The handling fee for the exemption of individual income tax should only refer to the withholding fee obtained by the relevant personnel for the withholding procedures in accordance with the provisions of the withholding fee, and if the company will be the amount of money as a bonus or a collective welfare nature of the incentive to the non-staff personnel should be incorporated into the employee's wages and salaries of the current period of individual income tax.
Expanded
The use of the fee for personal income tax is also clearly defined:
1, "Ministry of Finance, State Administration of Taxation, the People's Bank of China on further strengthening the withholding and collection of taxes on behalf of the management of the handling fee notice" (Caixiang [2005] No. 365) "(F) 'three generations' unit obtained by the handling fee income should be accounted for separately, included in the unit's income, for the 'three generations' management expenditures, but also appropriate incentives for the relevant staff ".
2, "Interim Measures for Individual Income Tax Withholding and Payment" (Guo Shui Fa [1995] No. 065) provides that "the withholding agent in accordance with the tax withheld, pay 2% of the handling fee. The withholding agent may use it for withholding expenses and rewarding tax preparers who do a better job of withholding taxes."
According to the above document, for enterprises to obtain the rebate of the handling fee on behalf of withholding personal income tax, there should be two kinds of use, one is for the management expenses of withholding and payment work, and the other is for rewarding the staff concerned.
Baidu Encyclopedia - Individual Tax Rebate (Tax Rebate)