Six conditions of individual tax relief policy

The six exemptions and one reduction of personal income tax are personal wage income and labor income. On the basis of the original deduction, expenses such as children's education, continuing education, serious illness medical treatment, housing loan interest, housing rent, and support for the elderly are deducted before paying personal income tax.

Second, analysis

When taxpayers' children receive full-time education, part of the expenses incurred can be deducted according to the standard of 1000 yuan per month. Full-time education includes primary schools, junior high schools, senior high schools, universities, graduate students and doctors. After the medical expenses incurred by the taxpayer in the tax year are reimbursed by medical insurance, the part of the medical expenses borne by the taxpayer that exceeds 6,543,800 yuan+0.5 million yuan shall be deducted according to the facts when the annual settlement is made, and the limit is within 80,000 yuan. If the taxpayer has a housing loan, the standard quota 1 000 yuan will be deducted every month. In addition, if both husband and wife bought a house before marriage and applied for a housing loan, then one of them can deduct 1 0,000 yuan or one of them can deduct 500 yuan. Living in different cities, the amount of housing rent deduction is different. There are three standards, namely, the monthly deduction of 800 yuan is 1 100 yuan and 1500 yuan.

Three, why should we set up six personal income tax relief policies?

In order to further enhance the fairness and rationality of the tax system, this personal income tax reform has set up new expenses such as children's education, continuing education, serious illness medical care, housing loan interest or housing rent, and supporting the elderly on the basis of raising expenses and basically deducting expenses. These expenses, which are closely related to the lives of ordinary people, can be deducted before tax, which reflects the fairness and rationality of the tax system. It is conducive to realizing the requirements put forward by the 19th National Congress of the Communist Party of China, such as education for young children, education for learning, income from hard work, medical care for the sick, support for the old, shelter for the weak and support for the elderly, and further increasing the people's sense of gain.

Four, personal income tax relief conditions are as follows:

1. Bonuses in science, education, technology, culture, health, sports, environmental protection, etc. Awarded by the provincial people's government, the State Council ministries and commissions, China People's Liberation Army units at or above the military level, and foreign and international organizations;

2. Interest on treasury bonds and financial bonds issued by the state;

3, subsidies and allowances issued in accordance with the unified provisions of the state;

4. Welfare fees, pensions and relief funds;

5. Insurance compensation;

6, demobilized soldiers, demobilization fees;

7, in accordance with the unified provisions of the state to cadres and workers resettlement fees, retirement fees, retirement wages, retirement wages, retirement allowance;

8. The income of diplomatic representatives, consular officials and other personnel in embassies and consulates in China who should be exempted from tax according to the relevant laws of China;

9. Income exempted from tax as stipulated in international conventions and agreements signed by the Government of China;

10, tax-free income approved by the financial department of the State Council.

legal ground

Individual Income Tax Law of the People's Republic of China

Article 5 Individual income tax may be reduced under any of the following circumstances. The specific scope and time limit shall be stipulated by the people's governments of provinces, autonomous regions and municipalities directly under the Central Government and reported to the Standing Committee of the people's congress at the same level for the record:

(a) the income of the disabled, the elderly and the martyrs;

(2) Having suffered heavy losses due to natural disasters.

The State Council can stipulate other tax reduction measures and report them to the NPC Standing Committee for the record.

Article 6 (1) For the comprehensive income of individual residents, the taxable income shall be the amount of income in each tax year after deducting expenses of 60,000 yuan, special additional deductions and other deductions determined according to law.

(2) For the income from wages and salaries of non-resident individuals, the taxable income shall be the balance of monthly income after deducting expenses of 5,000 yuan; Income from remuneration for labor services, remuneration for manuscripts and royalties shall be taxed.

(3) For operating income, the taxable income shall be the balance of the total income in each tax year after deducting costs, expenses and losses.

(four) if the income from property leasing does not exceed 4,000 yuan each time, the 800 yuan shall be deducted; If it exceeds 4,000 yuan, 20% of the expenses will be deducted, and the balance will be taxable income.

(5) For the income from property transfer, the taxable income shall be the balance after deducting the original value of the property and reasonable expenses from the income from property transfer.

(6) Interest, dividends, bonus income and contingent income shall be limited to the taxable income each time.

Income from remuneration for labor services, remuneration for manuscripts and royalties shall be the balance after deducting expenses. The amount of remuneration should be reduced by 70%. Individuals donate their income to public welfare charities such as education, poverty alleviation and poverty alleviation, and the part of the donation that does not exceed 30% of the taxable income declared by taxpayers can be deducted from their taxable income; If the State Council stipulates that donations to charity should be fully deducted before tax, such provisions shall prevail.

The special deduction specified in item 1 of the first paragraph of this article includes social insurance premiums such as basic old-age insurance, basic medical insurance, unemployment insurance and housing accumulation fund paid by individual residents in accordance with the scope and standards prescribed by the state; Special additional deductions include children's education, continuing education, medical treatment for serious illness, housing loan interest or housing rent, support for the elderly and other expenses. The specific scope, standards and implementation steps are determined by the State Council and reported to the NPC Standing Committee for the record.