The original of the detailed rules for 6 special deductions of 2019 new individual income tax, how to calculate the method of declaration. The new individual tax law has been formally implemented. Let's take a look at the latest rules of individual income tax special additional deduction.
Circular of the State Council on printing and distributing the Interim Measures for special additional deduction of individual income tax
GF [2018] No.41
People's governments of all provinces, autonomous regions and municipalities directly under the central government, ministries and commissions under the State Council, and organizations directly under the State Council:
The Interim Measures for special additional deduction of individual income tax is hereby printed and distributed to you. Please implement them carefully.
The State Council
December 13, 2018
(this public release)
Interim Measures for special additional deduction of individual income tax
Chapter I General Provisions
Article 1 These measures are formulated in accordance with the provisions of the individual income tax law of the people's Republic of China (hereinafter referred to as the individual income tax law).
Article 2 the term "special additional deduction of individual income tax" as mentioned in these Measures refers to six special additional deductions for children's education, continuing education, serious illness medical treatment, housing loan interest or housing rent, support for the elderly, etc. as stipulated in the individual income tax law.
Article 3 the special additional deduction of individual income tax shall follow the principles of fairness and reasonableness, being beneficial to the people's livelihood and being simple and easy.
Article 4 according to the changes of people's livelihood expenditure such as education, medical treatment, housing and pension, the scope and standard of special additional deduction shall be adjusted in time.
Chapter II education of children
Article 5 the relevant expenses of the taxpayer's children receiving full-time academic education shall be deducted in accordance with the standard quota of 1000 yuan per month for each child.
Academic education includes compulsory education (primary school, junior high school education), high school stage education (general high school, secondary vocational education, technical education), higher education (University Junior College, university undergraduate, Master graduate, doctoral graduate education).
The provisions of the first paragraph of this article shall apply to children who have reached the age of 3 and are in the pre-school stage before entering primary school.
Sixth, parents can choose to deduct 100% of the deduction standard by one party or 50% of the deduction standard by both parties. The specific deduction method cannot be changed in a tax year.
Article 7 if the taxpayer's children receive education outside China, the taxpayer shall retain the overseas school admission notice, study visa and other relevant education supporting materials for reference.
Chapter III continuing education
Article 8 the taxpayer's expenditure for receiving further education for academic qualifications (degrees) within the territory of China shall be deducted in accordance with the fixed amount of 400 yuan per month during the period of education for academic qualifications (degrees). The deduction period for continuing education with the same academic degree shall not exceed 48 months. The taxpayer's expenditure for continuing education of vocational qualification of skilled personnel and professional and technical personnel shall be deducted at a fixed amount of 3600 yuan in the year when the relevant certificate is obtained.
Article 9 If an individual accepts the continuing education of bachelor's degree or below and meets the deduction conditions stipulated in these measures, he or she may choose to deduct it from his or her parents or himself or herself.
Article 10 taxpayers who accept the continuing education of vocational qualification of skilled personnel and professional and technical personnel shall keep relevant certificates and other materials for future reference.
Chapter IV serious illness medical treatment
Article 11 in a tax year, the medical expenses related to basic medical insurance incurred by the taxpayer, after deducting the reimbursement of medical insurance, shall be deducted by the taxpayer within the limit of 80000 yuan when handling the annual final settlement.
Article 12 the medical expenses incurred by taxpayers may be deducted by themselves or their spouses; the medical expenses incurred by minor children may be deducted by their parents.
The deduction of medical expenses incurred by taxpayers, their spouses and minor children shall be calculated respectively in accordance with the provisions of Article 11 of these measures.
Article 13 taxpayers shall keep the original (or photocopy) and other materials of medical service charges and medical insurance reimbursement bills for future reference. The medical security department shall provide the patient with the annual medical expenses information inquiry service recorded in the medical security information system.
Chapter V interest on housing loans
Article 14 when a taxpayer or his / her spouse purchases housing in China for himself / herself or his / her spouse by using the commercial bank or housing accumulation fund personal housing loan alone or jointly, the first set of housing loan interest expenses incurred shall be deducted according to the standard quota of 1000 yuan per month in the year in which the loan interest actually occurs, and the maximum deduction period shall not exceed 240 months. The taxpayer can only enjoy the interest deduction of the first housing loan once.
The first housing loan mentioned in these Measures refers to the housing loan with the first housing loan interest rate.
Article 15 upon agreement between the husband and the wife, one of them may choose to deduct the amount. The specific method of deduction shall not be changed within one tax year.
For the first housing loan that occurs when the husband and the wife respectively purchase the housing before marriage, the loan interest expense can be selected for one of the purchased housing after marriage, which can be deducted by the buyer according to 100% of the deduction standard, or by the husband and wife respectively according to 50% of the deduction standard. The specific deduction method cannot be changed in a tax year.
Article 16 taxpayers shall keep housing loan contracts and loan repayment payment vouchers for future reference.
Chapter VI housing rent
Article 17 the housing rental expenses incurred by taxpayers who do not own their own houses in major working cities may be deducted in accordance with the following standards and quotas:
（1） For municipalities directly under the central government, provincial capital cities, cities specifically designated in the state plan and other cities determined by the State Council, the deduction standard is 1500 yuan per month;
（2） In addition to the cities listed in the first item, the deduction standard is 1100 yuan per month for the cities with a registered population of more than 1 million; and 800 yuan per month for the cities with a registered population of less than 1 million.
If a taxpayer's spouse has its own housing in the taxpayer's main work city, it shall be deemed that the taxpayer has its own housing in the main work city.
The registered population of the municipal area shall be subject to the data published by the National Bureau of statistics.
Article 18 the major working cities mentioned in these Measures refer to all administrative regions of the municipalities directly under the central government, cities specifically listed in the state plan, sub provincial cities and prefecture level cities (regions, prefectures and leagues) where the taxpayers are employed; if the taxpayers have no employing units, they are the cities where the tax authorities accept the comprehensive income settlement.
If the main working cities of both husband and wife are the same, only one party can deduct the housing rent expenditure.
Article 19 the expenditure of housing rent shall be deducted by the lessee who signs the housing lease contract.
Article 20 taxpayers and their spouses shall not enjoy the special additional deduction of housing loan interest and housing rent at the same time in a tax year.
Article 21 taxpayers shall retain the relevant materials such as housing lease contracts and agreements for future reference.
Chapter VII support for the elderly
Article 22 the expenditure of a taxpayer for supporting one or more dependants shall be deducted in accordance with the following standards and quotas:
（1） If the taxpayer is the only child, it shall be deducted according to the standard quota of 2000 yuan per month;
（2） If the taxpayer is not the only child, the deduction amount of 2000 yuan per month shall be shared by him and his brothers and sisters, and the amount shared by each person shall not exceed 1000 yuan per month. It may be apportioned by the supporter or by agreement, or designated by the dependant. A written apportionment agreement shall be signed for the agreed or designated apportionment, and the designated apportionment shall take precedence over the agreed apportionment. The specific allocation method and amount cannot be changed in a tax year.
Article 23 The term "supported person" as mentioned in these Measures refers to the parents who have reached the age of 60, as well as the grandparents who have reached the age of 60 and whose children have passed away.
Chapter VIII safeguard measures
Article 24 when a taxpayer requests invoices, financial bills and payment vouchers from a payee, the payee shall not refuse to provide them.
Article 25 when a taxpayer enjoys special additional deduction for the first time, it shall submit the relevant information of the special additional deduction to the withholding agent or the tax authority. The withholding agent shall timely submit the relevant information to the tax authority, and the taxpayer shall be responsible for the authenticity, accuracy and integrity of the information submitted. In case of any change in the special additional deduction information, the taxpayer shall provide relevant information to the withholding agent or tax authority in a timely manner.
The relevant information of the special additional deduction mentioned in the preceding paragraph includes the personal identity information of the taxpayer, his / her spouse, children and dependants, as well as other information related to the special additional deduction stipulated by the competent tax authority under the State Council.
These Measures stipulate that taxpayers shall keep relevant materials for future reference for five years.
Article 26 the relevant departments and units shall have the responsibility and obligation to provide or assist the tax authorities in verifying the following information related to special additional deductions:
（1） Public security department's basic information about the household registration population, household member relationship information, exit and entry certificate information, information about personnel going abroad, death signs of the household registration population and other information;
（2） Information about birth medical certificate and only child of health department;
（3） Civil Affairs Department, foreign affairs department and court information on marriage status;
（4） Information about the student status of the education department (including the student status and examination status of the continuing education students with academic qualifications), and the qualification information of overseas educational institutions recorded in the relevant departments;
（5） Human resources and social security departments and other relevant technical colleges and universities student status information, skilled personnel vocational qualification continuing education information, professional and technical personnel vocational qualification continuing education information;
（6） Information about housing (including public rental housing) lease from the housing and urban rural construction department, and information about the repayment of housing fund loan from the housing fund management organization;
（7） Real estate registration information of natural resources department;
（8） Information of the people's Bank of China and the financial supervision and administration department on the repayment of housing commercial loans;
（9） Medical expenses recorded by the medical security department in the medical security information system;
（10） Other tax related information to be provided as determined by the competent tax department of the State Council.
The format, standard and sharing mode of the above data and information shall be determined by the competent tax authorities under the State Council and the tax bureaus of all provinces, autonomous regions, municipalities directly under the central government and cities specifically designated in the state plan in consultation with the relevant departments.
If the relevant departments and units have special additional tax deduction information but fail to provide it to the tax authorities as required, the main principals and relevant personnel of the departments or units with tax related information shall bear corresponding responsibilities.
Article 27 If the withholding agent finds that the information provided by the taxpayer is not in conformity with the actual situation, it may require the taxpayer to modify it. If the taxpayer refuses to modify, the withholding agent shall report to the tax authority, which shall deal with the matter in a timely manner.
Article 28 when the tax authorities verify the special additional deductions, the relevant units and individuals such as the public security police station, the residents committee or the villagers committee of the place where the taxpayer is employed, his habitual residence or his domicile shall assist in the verification.
Chapter IX supplementary provisions
Article 29 The term "parents" as mentioned in these Measures refers to the birth parents, stepparents and adoptive parents. The term "children" as mentioned in these Measures refers to children born in wedlock, children born out of wedlock, stepchildren and adopted children. Where a person other than the parents is the guardian of a minor, the provisions of these Measures shall apply mutatis mutandis.
Article 30 if the amount of special additional deduction of individual income tax cannot be fully deducted in one tax year, it shall not be carried forward for deduction in subsequent years.
Article 31 the specific operational measures for the special additional deduction of individual income tax shall be formulated separately by the competent tax authorities under the State Council.
Article 32 these Measures shall come into force as of January 1, 2019.