China raises income tax threshold to 3,500 yuan

China's top legislature on June 30, 2011 adopted an amendment to individual income tax law, which raises the monthly tax exemption threshold from 2,000 yuan ($307.7) to 3,500 yuan.($538.5).

For a quick look at how much individual income tax you should pay under the amended law, please go and check with the bottom list of your monthly salary (net of social insurance expense). Explanation of the table:

i)          First column shows individual monthly income salary (net of social insurance expense)

ii)         Second column shows individual income tax you should pay according to the existing law.

iii)        Third column shows individual income tax you should pay according to the amended law

iv)        Fourth column shows the difference between the second and the third.

v)         “减少”means decrease by, “增加”means increase by,“没变”means remain the same.

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The information published above is in summary form and intended for general guidance only.  This information is not intended as legal, accounting or other professional advice and should not be relied upon as such. Neither Reanda CPAs nor any related entity shall have any liability to any person or entity that relies on the information contained in this publication.