The commission paid by the company belongs to the category of wage and salary income and needs to pay personal income tax. As a part of the total wages, the commission should be included in the income of personal wages and salaries, and the tax rate is between 3% and 45% according to the excessive progressive tax rate stipulated by the state. The calculation formula of personal income tax is: monthly personal income tax payable = taxable income multiplied by applicable tax rate-quick deduction. Taxable income refers to the amount of income after deducting the threshold. If the company fails to fulfill the obligation of withholding and remitting, the individual needs to pay the tax by himself, and the company may face corresponding punishment.

The scope of individual income tax collection:

1. Income from wages and salaries: refers to wages and salaries obtained by individuals engaged in work or providing services;

2. Income from production and operation of individual industrial and commercial households: refers to income obtained by individual industrial and commercial households from production and operation activities;

3. Income from contracted operation and leased operation of enterprises and institutions: refers to income obtained by individuals from contracted operation and leased operation rights of enterprises and institutions;

4. Income from labor remuneration: refers to various forms of remuneration obtained by individuals for providing labor services;

5. Income from remuneration for writing: refers to the remuneration for writing and publishing works by individuals;

6. Royalty income: refers to the income obtained by individuals licensing their patents, trademarks and other franchises to others;

7. Income from interest, dividends and bonuses: refers to personal investment income such as deposit interest, bond interest and stock dividends;

8. Income from property leasing: refers to the rental income obtained by individuals renting property;

9. Income from property transfer: refers to income obtained by individuals from property transfer;

10. Accidental income: refers to all kinds of income obtained by individuals by accident;

1 1. Other income refers to other income that should be included in the scope of individual income tax collection according to laws and administrative regulations.

To sum up, the commission paid by the company belongs to salary income and needs to pay personal income tax. The calculation formula of individual income tax is the taxable income multiplied by the applicable tax rate minus the quick deduction. If the company fails to withhold and pay taxes, individuals need to pay taxes themselves, and the company may face penalties.

Legal basis:

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

second

The following personal income shall be subject to personal income tax:

(1) Income from wages and salaries;

(2) Income from remuneration for labor services;

(3) Income from remuneration;

(4) Income from royalties;

(5) Operating income;

(6) Income from interest, dividends and bonuses;

(7) Income from property lease;

(8) Income from property transfer;

(9) Accidental income.

Individual residents who obtain income from items 1 to 4 of the preceding paragraph (hereinafter referred to as comprehensive income) shall calculate individual income tax according to the tax year; Non-resident individuals who obtain income from items 1 to 4 of the preceding paragraph shall calculate individual income tax on a monthly or itemized basis. Taxpayers who obtain income from items 5 to 9 of the preceding paragraph shall calculate individual income tax separately in accordance with the provisions of this law.