Nov. 21, 2006  
Notice on the levy of individual income tax of staff with International organizations¡¯ branch in China and Embassies and consulates in China and News Agencies released by State Administration of Taxation is being transmitted by Beijing Local Taxation Bureau
Jingdishuige (2005)67
 
¡¡¡¡Chaoyang Local Taxation Bureau and foreign affairs bureaus,
¡¡¡¡Now we transmit the Notice on the levy of individual income tax of staff with International organizations¡¯ branch in China and Embassies and consulates in China and News Agencies to you and inform you about related questions.. Please put it into force.
¡¡¡¡ I. Individual income tax of Chinese employees hired by international organizations and embassies and consulates enjoying diplomatic immunity shall be levied by Beijing Service Bureau for Diplomatic Missions entrusted by Chaoyang Bureau or other service institutions assigned by it, and Chaoyang Bureau shall sign levy contract with the entrusted institution.
¡¡¡¡ II. Beijing Service Bureau for Diplomatic Missions or other service institutions assigned by it shall diversify the tax of the above-mentioned employees and the tax of other persons originally levied into two accounts. That is to submit taxes from these two categories into different accounts and carry out calculation and declaration respectively.
¡¡¡¡III. News agencies of countries shall proceed the levy registration procedures to corresponding taxation administrations submitting copies of Foreign News Agencies Certificate and Identity Card of the chief representative, and exert the obligations of levy and declaration of individual income taxes of Chinese and foreign employees.
¡¡¡¡IV.The corresponding taxation administrations shall play full role in the publicity of taxation, and obtain understandings and support from International organizations¡¯ branch in China and Embassies and consulates in China and News Agencies, and exert the levy work substantially.
¡¡¡¡V. Procedure commission of the levy of individual income tax shall be refunded at the rate of 2%.
    
    
¡¡¡¡ Feb 1, 2005
    
    
    
    
     State Administration of Taxation
     Guoshuihan¡²2004¡³808
    
¡¡¡¡ Notice on the levy of individual income tax of staff with International organizations¡¯ branch in China and Embassies and consulates in China and News Agencies released by State Administration of Taxation
    
 ¡¡¡¡ Local taxation bureaus of provinces, autonomous regions, municipalities and cities directly under state planning:
 ¡¡¡¡In order to improve the levy of individual income tax and prevent from taxation loss, based on the individual Income Tax Law of People¡¯s Republic of China and Tax Levy Administrative Law of People¡¯s Republic of China, some questions on the levy of individual income tax of staff with International organizations¡¯ branch in China and Embassies and consulates in China and News Agencies are reconfirmed as following:
¡¡¡¡ I. According to regulations in Vienna Diplomatic Relations Convention and articles of international organizations, all the Chinese employees hired by international organizations and embassies and consulates, and Chinese and foreign employees hired by foreign news agencies shall pay individual income taxes according to the individual Income Tax Law of People¡¯s Republic of China.
¡¡¡¡ II. According to international practices, any foreign employees other than diplomats working in International organizations¡¯ branch in China and Embassies and consulates in China who is ¡°permanent resident¡± shall pay individual income tax in the residential country. Whereas because the tax law in China still hasn¡¯t made a definite interpretation for ¡°permanent resident¡±, those foreign employees working in International organizations¡¯ branch in China and Embassies and consulates in China are temporarily not levied individual income tax.
¡¡¡¡Any income acquired by diplomats from out-of-office activities outside their organizations or embassies shall be levied individual income tax.
¡¡¡¡III. According to regulations of individual Income Tax Law of People¡¯s Republic of China, for the individual income tax of Chinese employees working in International organizations¡¯ branch in China and Embassies and consulates in China, the obligator shall be the institution or people who directly pay the employees. Considering of the special situation of international organization and embassies, all levels of taxation administrations may temporarily not enforce the international organization and embassies to carry out the obligation of substituting in payment of individual income tax.
¡¡¡¡ IV. Because Beijing Service Bureau for diplomatic missions and some foreign affaires service units assigned by levels of provincial governments can obtain information about employment in international organizations and embassies through certain channels, according to Article 44 of Exertion Rules of Tax Levy Administrative Law of People¡¯s Republic of China, levels of taxation administrations may entrust service institutions for diplomatic missions to levy individual income tax of those Chinese employees. Level s of taxation administrations shall enhance their communications with foreign affairs units to deal with the levy of individual income tax of Chinese employees in international organizations and embassies in time.
¡¡¡¡ V. Those foreign affairs units accepting the entrustment shall take effective measures to obtain the information on employment and income of Chinese employees in international organizations and embassies, levy the tax according to laws and regulations, and report the related information to the corresponding taxation administrations.
¡¡¡¡VI. Local taxation bureaus in areas with foreign news agencies located such as Beijing, Shanghai, Guangdong, and Sichuan shall regularly ask for Foreign News Agencies Namelist from the foreign affairs office of provincial governments to understand and obtain the alteration in foreign individual and alterations of foreign news agencies and require the foreign news agencies to complete the payment of individual income tax of Chinese and foreign journalists and employees based on the acquired information.
    
     June 23, 2004