According to the policies and regulations on the website of the State Administration of Taxation, on January 31, 2024, the State Administration of Taxation issued the Announcement on Handling the Settlement of Comprehensive Income of Individual Income Tax in 2023 (No. 2 Announcement of the State Administration of Taxation in 2024) (hereinafter referred to as the Announcement), which pointed out that according to the Individual Income Tax Law and its implementation regulations The Law on the Administration of Tax Collection and its implementation rules and other relevant provisions define matters related to the settlement and payment of comprehensive income of individual income tax in 2023 (hereinafter referred to as the final settlement). The specific contents are as follows:
1、 Main contents of final calculation
After the end of 2023, individual residents (hereinafter referred to as "taxpayers") need to summarize the income from salaries, labor remuneration, author's remuneration, royalties and other four comprehensive incomes obtained from January 1 to December 31, 2023, after deducting 60000 yuan of expenses, special deductions, special surcharges, other deductions determined according to law and qualified charitable donations, Apply the comprehensive income individual income tax rate and subtract the quick calculation deduction (see Annex 1 for the tax rate table), calculate the final tax payable, and then subtract the prepaid tax amount in 2023 to obtain the tax amount to be refunded or supplemented, and report to the tax authority and handle the tax refund or compensation. The specific calculation formula is as follows:
Tax refundable or payable=[(comprehensive income - 60000 yuan - special deductions such as "three insurances and one fund" - special additional deductions such as children's education - other deductions determined by law - qualified charitable donations) × applicable tax rate - quick calculation deductions] - prepaid tax
The final settlement does not involve the taxpayer's classified income such as property lease, and the income that is not incorporated into comprehensive income for tax calculation according to regulations.
2、 Circumstances without settlement
Taxpayers who have paid individual income tax in 2023 in accordance with the law and meet one of the following circumstances do not need to go through final calculation:
（1） Tax needs to be paid in the final calculation, but the comprehensive income does not exceed 120000 yuan in the whole year;
（2） The amount of tax to be paid does not exceed 400 yuan;
（3） The prepaid tax amount is consistent with the final tax payable;
（4） Those who meet the conditions for tax refund in final calculation but do not apply for tax refund.
3、 Circumstances requiring final settlement
If one of the following circumstances is met, the taxpayer shall handle the final settlement:
（1） The prepaid tax amount is greater than the final tax payable and the tax refund is applied for;
（2） The comprehensive income obtained in 2023 is more than 120000 yuan and the amount of supplementary tax required in the final calculation is more than 400 yuan.
If the comprehensive income is less declared or not declared in 2023 due to the error of the applicable income item or the withholding agent's failure to perform the withholding obligation according to law, the taxpayer shall handle the final calculation according to the actual situation according to law.
4、 Pre tax deduction available
Taxpayers can fill in or supplement the following pre tax deductions in 2023 during the final calculation period:
（1） Deduct 60000 yuan of expenses, as well as qualified social insurance premiums such as basic endowment insurance, basic medical insurance, unemployment insurance, and special deductions such as housing provident fund;
（2） Eligible infant care, child education, continuing education, serious illness medical treatment, housing loan interest or housing rent, special additional deduction for supporting the elderly;
（3） Other deductions such as qualified enterprise annuity, occupational annuity, commercial health insurance, and personal pension;
（4） Eligible charitable donations.
Taxpayers who have obtained both comprehensive income and operating income can declare the deduction of 60000 yuan of expenses, special deductions, special additional deductions and other deductions determined by law in the comprehensive income or operating income, but shall not declare the deduction repeatedly.
If taxpayers and their spouses jointly report special additional deductions for infant care, children's education, serious illness medical treatment, housing loan interest, housing rent and other special additional deductions, as well as special additional deductions for supporting the elderly with their brothers and sisters, they need to communicate with other preparers to report the amount of deduction, so as to avoid filling in special additional deductions in excess of the specified amount or proportion. If the taxpayer's report does not meet the requirements, once found, the tax authority will give a reminder through mobile personal income tax APP, natural person electronic tax bureau website or withholding agent and other channels. According to the relevant provisions of the Announcement of the Ministry of Finance and the State Administration of Taxation on Relevant Policy Issues Concerning the Settlement and Payment of Comprehensive Income of Individual Income Tax (No. 94 in 2019), the tax authorities will suspend the special additional deduction for taxpayers who refuse to correct or explain the situation. Taxpayers may continue to enjoy special additional deductions after correcting relevant information or explaining the situation according to regulations.
5、 Handling time
The handling time of 2023 annual final settlement is from March 1 to June 30, 2024. If a taxpayer who has no domicile in China leaves the country before March 1, it may go through the formalities before leaving the country.
6、 Handling method
Taxpayers can choose the following handling methods:
（1） Self handling.
（2） It shall be handled on behalf of the employer (including the unit that withholds and withholds the individual income tax of its remuneration for services according to the cumulative withholding method).
If a taxpayer requests to do so on his behalf, the unit shall do so on his behalf, or train and assist the taxpayer to complete the declaration of final settlement and tax refund (supplement).
If it is handled by the unit on its behalf, the taxpayer shall confirm with the unit in writing or electronically in advance, supplement and provide information such as comprehensive income income, relevant deductions, and tax preferences obtained outside the unit in 2023, and be responsible for the authenticity, accuracy, and completeness of the information submitted. If the taxpayer fails to confirm with the unit and ask it to handle the matter on its behalf, the unit shall not handle the matter on its behalf.
（3） Entrust the trustee (including tax related professional service institutions or other units and individuals) to handle, and the taxpayer needs to sign a letter of authorization with the trustee.
After the unit or trustee handles the final settlement for the taxpayer, it shall inform the taxpayer of the handling situation in a timely manner. If a taxpayer finds that there are errors in the declaration information of final settlement, it may require the unit or trustee to correct the declaration, or it may correct the declaration itself.
7、 Handling channel
In order to facilitate taxpayers, tax authorities provide taxpayers with efficient and fast online tax channels. Taxpayers can give priority to handle the final settlement through the individual income tax APP and website, and the tax authorities will provide taxpayers with pre filling services for declaration items; If it is not convenient to go through the above methods, it can also be done by mail or at the Tax Service Hall.
If the declaration is made by mail, the taxpayer shall send the declaration form to the address announced by the tax bureau of the province, autonomous region, municipality directly under the Central Government and the city specifically designated in the state plan where the competent tax authority is located according to Article 9 of this announcement.
8、 Declaration information and data retention
Taxpayers who handle the final settlement shall apply to the annual individual income tax declaration form (Annex 2 and 3). If it is necessary to modify their relevant basic information, and if they are newly entitled to deduction or tax preference, they shall also fill in the relevant information and provide supporting materials as required. Taxpayers need to check carefully to ensure that the information filled in is true, accurate and complete.
Taxpayers and the unit handling the final settlement shall keep the special additional deduction, tax preference materials and other data related to the final settlement for 5 years from the end of the final settlement period.
Units with equity (stock) incentives (including equity incentives for employees by domestic enterprises based on the equity of overseas enterprises), and cash rewards for the conversion of job related scientific and technological achievements shall report and file in accordance with relevant regulations. At the same time, if a taxpayer obtains equity incentives from the same unit for many times in a tax year, the unit shall calculate and withhold the tax on a consolidated basis. If a taxpayer obtains equity incentive from different units in a tax year, it can provide the information about equity incentive obtained by the previous unit to the current unit and calculate and withhold tax on a consolidated basis, or it can go through a consolidated declaration with the tax authority on its own from March 1 to June 30 of the next year.
9、 Tax authority accepting the declaration
In accordance with the principle of convenience and proximity, if the taxpayer handles it on his own or the trustee handles it on behalf of the taxpayer, he shall report to the competent tax authority of the taxpayer's employer; If there are two or more employers, you can choose to report to one of them.
If a taxpayer does not hold an employment unit, it shall report to the competent tax authority in the place of its domicile, habitual residence or main source of income. The main source of income refers to the place where the withholding agent with the largest amount of labor remuneration, manuscript remuneration and royalties will be cumulatively distributed to taxpayers in 2023.
If the unit is a taxpayer, it shall report to the competent tax authority of the unit.
In order to facilitate tax service and collection management, after the end of the final period, the tax department will determine the competent tax authority for taxpayers who have not yet handled the final declaration and multiple equity incentive consolidated declarations.
10、 Tax refund (supplement)
（1） Handling tax refund
Taxpayers applying for final tax refund shall provide qualified bank accounts opened in China. The tax authority shall, after examination and verification in accordance with the provisions, handle the tax refund in accordance with the relevant provisions of the treasury administration. If a taxpayer fails to provide his/her valid bank account or the information provided is incorrect, the tax authority will notify the taxpayer to make corrections, and the taxpayer will handle tax refund according to law after making corrections as required.
For the convenience of tax refund, taxpayers with annual comprehensive income of no more than 60000 yuan and prepaid individual income tax in 2023 can choose to use the simple declaration function provided by the personal income tax APP or website to conveniently handle the final tax refund.
Taxpayers who apply for 2023 final tax refund and other tax refunds, if there are those who should go through 2022 and previous years' final tax payment but have not done so, or if the tax authorities have notified that there are doubts but have not corrected or explained the situation in 2022 and previous years' final declaration, they need to apply for tax refund according to law after going through 2022 and previous years' final tax payment, correcting the declaration or explaining the relevant situation.
（2） Handling tax payment
Taxpayers who handle the final settlement and tax payment can pay through online banking, POS machine of tax service hall, bank counter, non bank payment institutions, etc. If the declaration is mailed and the tax is paid, the taxpayer shall pay the tax and follow the declaration progress in a timely manner through the individual income tax APP and website or the tax service office of the competent tax authority.
If a taxpayer who needs to make up tax after final calculation fails to report or make up tax in full after the end of the final period, once found, the tax authority will order correction within a time limit and deliver relevant tax documents to the taxpayer according to law. For those who have signed the Confirmation of Electronic Delivery of Tax Documents, the electronic documents will be delivered through personal income tax APP, website and other channels; If the Electronic Delivery Confirmation of Tax Documents is not signed, it shall be delivered in other ways. At the same time, the tax authority will collect overdue fine according to law and mark it in the "Tax Record" of individual income tax.
If a taxpayer makes an overpayment or underpayment in the final calculation due to an error in filling in the declaration information, and the taxpayer takes the initiative or corrects in time after being reminded by the tax authority, the tax authority may exempt from punishment in accordance with the principle of "no penalty for the first violation".
11、 Final settlement service
The tax authorities launched a series of optimized service measures, strengthened the policy interpretation and operation guidance of the final calculation, compiled tax guidelines by category, explained the policy caliber, professional terms and operation process in a popular way, carried out prompt and reminder services in multiple channels and forms, and provided tax related consultation through personal tax APP and website, 12366 tax payment service platform and other channels, Help taxpayers solve difficult problems and actively respond to their demands.
Before the start of final calculation, taxpayers can log in to the personal income tax APP and website to check their comprehensive income and tax payment, check the basic data such as the identity information of the personnel involved in the bank card and special additional deduction, and prepare for the final calculation.
In order to reasonably and orderly guide taxpayers to handle the final settlement and improve their handling experience, the competent tax authority will notify taxpayers in batches and installments to handle the settlement within a certain period of time. At the same time, the tax department has launched an appointment service. Taxpayers who need to handle the initial settlement (from March 1 to March 20) can, according to their own conditions, make an appointment for any day of the above time period through the personal income tax APP after February 21. From March 21 to June 30, taxpayers can handle it at any time without making an appointment.
The tax authorities provide preferential tax refund services to taxpayers who meet the conditions for final tax refund and have a heavy living burden. The tax authorities can provide personalized convenience services to the elderly, disabled people and other special groups who have difficulties in completing the final settlement independently.
12、 Other matters
Article 1 and Article 4 of the Announcement of the State Administration of Taxation on Issues Related to Self declaration of Individual Income Tax (No. 62 in 2018) that are inconsistent with this announcement shall be implemented in accordance with this announcement.
According to the Announcement of the Ministry of Finance, the State Administration of Taxation, the Ministry of Housing and Urban Rural Development of the People's Republic of China on Continuing the Implementation of Individual Income Tax Policies in Support of Residents' Replacement of Housing (No. 28 in 2023), during the period from January 1, 2024 to December 31, 2025, taxpayers selling their own houses and repurchasing houses in the same city within one year after the sale of existing houses, You can apply for refund of the individual income tax paid by the person who sold the existing house according to the regulations. The specific service and collection and management regulations shall refer to the Announcement of the State Administration of Taxation on Matters Related to the Collection and Management of Individual Income Tax Policies to Support Residents to Replace and Purchase Houses (No. 21 in 2022).
It is hereby announced.
enclosure:
one Individual income tax rate table (applicable to comprehensive income). pdf
two Annual Individual Income Tax Return (Form A, simple version, question and answer version). pdf
three Annual Individual Income Tax Return (Form B). pdf
