Do foreigners in China need to pay personal income tax?

“I have a foreign employee in my company, how do I calculate the tax for him?”

“公司有位外国员工,我该怎样为他计算个税?”


“Are there any special points to note when paying personal tax for expatriates working in China ?”

“在华工作的外籍人员在缴纳个税时有什么需要注意的特殊点吗?”


Recently, SFBC has found that there have been a lot of questions about taxation of expatriates.Today we will focus on the taxation of expatriates working in China in accordance with the relevant regulations.

最近,SFBC发现大家对外籍人员的缴税问题产生了不少疑问。今天我们就根据相关规定,对外籍人员在华工作的缴税问题做一个集中的梳理。



1 Can foreigners print their personal tax certificates directly online?

Yes, you can. Foreigners who have had their real names authenticated (bank card required) can log on to the e-Tax Bureau and print the tax clearance certificate in the module “I want to check”- “Certificate information check” – “Issuing tax clearance certificate”. Print the certificate.


2 If a foreigner is in the process of obtaining documents while in China but also earns income,does he/she have to file a personal tax return or can the return be deferred?

A personal tax return is required when a tax obligation arises. A passport number or other document number is used to file a personal tax return and is not related to the residence permit issued during your stay in China.


3 Expatriate employees over 60 years old with an annual income of around 500,000 are required to continue to be employed by the company’s business. According to the Employment Contract Law, no further employment contracts can be signed, only labour contracts or re-employment agreements can be signed, and compared to labour contracts, personal income tax on labour contracts will increase. Is there any countermeasure to reduce personal income tax under the premise of legal compliance?

(1) First determine whether the foreigner is a resident or non-resident individual.
(2) Income earned by individuals from part-time employment shall be subject to personal income tax under the taxable item of “income from remuneration for labour services”; income earned by retired persons from re-employment shall be subject to personal income tax under the taxable item of “income from wages and salaries” after deducting the standard deduction of expenses as stipulated in the Personal Income Tax Law. The individual income tax is payable on the basis of the taxable item of “income from wages and salaries”, after deducting the deduction of expenses as stipulated in the Individual Income Tax Law.


“Retiree reappointment” shall be accompanied by the following conditions:

“退休人员再任职”,应同时符合下列条件:

1. The person employed has signed an employment contract (agreement) with the employer for more than one year (including one year), and there is a long-term or continuous employment and employment relationship.

一、受雇人员与用人单位签订一年以上(含一年)劳动合同(协议),存在长期或连续的雇用与被雇用关系;


2.When an employed person is unable to attend work normally due to personal leave, sick leave, holiday, etc., he or she remains entitled to a fixed or basic salary income.

二、受雇人员因事假、病假、休假等原因不能正常出勤时,仍享受固定或基本工资收入;


3. the employed person enjoys the same benefits, social security, training and other entitlements as other regular employees of the unit.

三、受雇人员与单位其他正式职工享受同等福利、社保、培训及其他待遇;


4. The hired staff shall be responsible for organizing job promotion and title assessment by the employing unit.

(Policy basis: Guo Shui Xin [2005] No.382, Guo Shui Xin [2006] No.526)

四、受雇人员的职务晋升、职称评定等工作由用人单位负责组织。

(政策依据:国税函〔2005〕382号、国税函〔2006〕526号)

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