China Providing Two-Year Tax Exemption for Lower-Income Individuals

On 20 November 2019, China's State Council approved a tax exemption for lower-income individuals. This includes that individuals with annual income below CNY 120,000 will be exempted from the obligation to declare and pay individual income tax for a period of two years. The exemption is provided through an expansion of the deductions system introduced as part of the individual income tax reforms approved in 2018 ({News-2018-09-13/A/2-previous coverage}). Further details on the implementation …