How to pay dividends on stocks and how to deduct taxes?

1, ordinary people make money in the stock market, but there are only two forms. The first dividend given to you by a listed company depends on the length of time you have held shares in the company. Those who hold shares for more than 12 months shall be exempted from personal income tax. If it is less than 12 months, you must pay a certain personal income tax. Another form is the difference earned by buying and selling stocks.

2. Personal income tax is relatively complicated. First of all, let's talk about natural persons. First, domestic natural person shareholders pay 20% personal income tax for dividends. Second, foreign natural persons are exempt from personal income tax for dividends obtained from foreign-invested enterprises. Don't simply think that you can enjoy the free policy by changing your China nationality to a foreign nationality.

3. Three conditions must be met: first, the invested enterprise is a foreign-funded enterprise; Secondly, the proportion of foreign investment exceeds 25%; Third, foreign capital must be repatriated from China. Dividends held by third natural person shareholders in listed companies shall be taxed during the holding period and the transfer period. If the holding period exceeds one year, personal income tax will be temporarily exempted; If the holding period exceeds one month, individual income tax will be levied at 20%, ranging from one month to one year. Personal income tax is levied at 20%, and it is temporarily exempted when transferring. In the fourth case, both a sole proprietorship enterprise and a partnership enterprise are non-corporate enterprises, and the dividends from foreign investment cannot be incorporated into the income of the enterprise, but individual income tax should be levied at 20% respectively.

4. Individual shareholders pay individual income tax on dividends, bonuses and interest income at a tax rate of 20%. However, dividends obtained by individual shareholders from listed companies can be taxed at half, and dividends obtained by individual investors from listed companies can be taxed at 50%.