The threshold of individual income tax in 2019 is raised to 5000 yuan, so how should the individual income tax be calculated? How much? What is the salary in 2019? This is a question that every professional will pay attention to. This paper will give you answers and help for these two points that we pay attention to!
The draft amendment to the personal income tax law, which has attracted much attention, was submitted to the third meeting of the Standing Committee of the 13th National People's Congress for deliberation on the 19th. This is the seventh overhaul of the tax law since its introduction in 1980 and will usher in a fundamental change:
Comprehensive taxation shall be implemented for the first time on four items of labor income, such as wages and salaries, labor remuneration, remuneration for contributions and royalties;
The threshold of individual income tax is increased from 3500 yuan per month to 5000 yuan per month (60000 yuan per year);
Increase special additional deductions such as children's education expenditure, continuing education expenditure, serious illness medical expenditure, housing loan interest and housing rent for the first time;
Optimize and adjust the tax rate structure, and expand the range of lower tax rates & hellip& hellip;
How to calculate individual income tax?
Taxable income = amount of wage income - various social insurance premiums (five insurances and one fund) - starting point
Tax payable = taxable income * tax rate - quick calculation deduction
Case description:
Assuming that the social insurance premium deducted from salary a is 100 million yuan,
If the personal tax threshold is 5000 yuan, his after tax salary is calculated as follows:
Taxable income = 10000 (wages payable - various social insurance premiums) - 5000 (threshold) = 5000 yuan
Refer to the above wage tax rate table, that is, in the part 4500-9000, the applicable tax rate is 20%, and the quick calculation deduction is 555.
Tax payable = 5000 * 20% - 555 = 445 yuan
Paid salary = payable salary - various social insurance premiums - tax payable = 10000-445 = 9555 yuan
Calculated according to the individual income tax threshold of 3500 yuan, his after tax salary is calculated as follows:
Taxable income = 10000 (wages payable - various social insurance premiums) - 3500 (threshold) = 6500 yuan
Refer to the above wage tax rate table, that is, in the part 4500-9000, the applicable tax rate is 20%, and the quick calculation deduction is 555.
Tax payable = 6500 * 20% - 555 = 745 yuan
Paid salary = payable salary - various social insurance premiums - tax payable = 10000-745 = 9255 yuan