Are you confused about how to calculate your personal income tax? Don’t worry! Here’s the latest individual income tax calculation formula for your reference. The new formula takes into account various deductions and thresholds to ensure fairness and accuracy.
First, determine your taxable income by subtracting the basic deduction of ¥5,000 and any additional deductions such as social insurance and housing fund contributions from your monthly salary. Then apply the applicable tax rate based on the remaining amount. For example, if your taxable income is between ¥3,000 and ¥12,000, the tax rate would be 10% with a quick deduction of ¥210.
This updated formula aims to reduce the tax burden for middle- and low-income groups while maintaining revenue stability. It also encourages individuals to participate more in social welfare programs like pensions and medical insurance. Remember to keep track of all eligible deductions to maximize your savings! 💸
By understanding this formula, you can better plan your finances and enjoy peace of mind. Happy calculating! 🧮✨