Method for calculating personal income tax on income from property transfer

1. Scope definition

Income from property transfer refers to the transfer of securities, equity, buildings, and land by individuals. Income from use rights, machinery and equipment, vehicles, ships and other property.

Explanation: Income obtained by individuals from "transferring" patent rights, trademark rights, copyrights, and non-patented technologies will not be levied personal income tax according to the item "Income from Property Transfer", but according to the item "Income from Royalty Fees" levy personal income tax.

2. Calculation method: levy on a per-time basis

3. Tax calculation basis

The amount of income obtained from the transfer of property minus the original value of the property and The balance after reasonable expenses is taxable income. Amount of tax payable = (total income - original value of property - reasonable expenses) × 20

4. Individual transfer of house

(1) The income obtained from the sale of self-owned house by an individual shall be taxed Personal income tax is levied according to the item "Income from property transfer", but income derived from the transfer of a house that has been used for personal use for more than "5 years" and is the "only" living room of the family is temporarily exempt from personal income tax.

(2) The personal income tax taxable income of an individual transferring a house does not include value-added tax. The value-added tax included in the price paid when acquiring the house is included in the original value of the property, and the tax that can be deducted when calculating the transfer income The fee does not include the value-added tax paid on this transfer.

5. Equity transfer by individuals

(1) Listed companies

①Income from the transfer of stocks (non-restricted shares) of domestic listed companies is not subject to personal tax for the time being. Income Tax.

② Personal income tax at a rate of 20% shall be levied on the income obtained by individuals from the transfer of restricted shares of listed companies as "income from property transfer".

(2) Unlisted companies

Individuals transfer the equity or shares invested in enterprises established in China (excluding sole proprietorships and partnerships) to other individuals or The acts of a legal person shall be subject to personal income tax according to the item "Income from Property Transfer".

6. Special provisions

(1) When an individual invests in non-monetary assets, the transfer of non-monetary assets by an individual and the investment occur at the same time. Individual income from the transfer of non-monetary assets shall be levied as personal income tax under the item "Income from Property Transfer".

(2) The income earned by individuals who purchase virtual currency from players through the Internet and then sell it to others after adding a markup shall be subject to personal income tax under the item "Income from Property Transfer".

How to pay personal income tax on the income from the transfer of personal property

The personal income tax paid on the income from the transfer of personal property is based on the income from the transfer of property in one time (no matter how many times it is paid, it should be consolidated The balance after deducting the original value of the property and reasonable expenses is the taxable income, and a tax rate of 20 is applied to calculate and pay personal income tax.

The calculation formula for the tax payable on income from property transfer is: Personal income tax payable = taxable income × 20 Taxable income = income from each transfer of property - original value of the property - reasonable expenses to determine the property original value.

To determine the original value of the above-mentioned property, the individual must provide relevant legal vouchers; for those who fail to provide complete and accurate legal vouchers for the original value of the property and cannot correctly calculate the original value of the property, the tax department may calculate the original value of the property based on local actual conditions. The original value of the property shall be assessed or expropriated according to the circumstances.

For example, when transferring real estate, if the taxpayer cannot accurately provide the original value of the property and relevant tax vouchers, and cannot determine the original value of the property, the tax authorities can comprehensively consider the location, construction time, and local housing prices of the property. , area and other factors, personal income tax is assessed and levied according to a certain proportion of the income from real estate transfer.

Method for calculating personal income tax on property transfer income. This article provides a detailed knowledge introduction to this issue. Depending on the type of property transferred and the amount of income, the individual tax calculation will be different. After the implementation of the new personal income tax law, you are not sure how to calculate taxes. If you encounter any questions, you can directly consult our official website teachers.