Calculate your monthly and annual IIT based on gross income, social insurance, housing fund, and special deductions using China's 7-bracket progressive tax system.
China's Individual Income Tax uses a cumulative withholding method. Your annual taxable income is calculated by subtracting the standard deduction (¥5,000/month), social insurance, housing fund, and special additional deductions from your gross income.
The tax is then applied using 7 progressive brackets ranging from 3% (annual taxable income ≤ ¥36,000) up to 45% (annual taxable income > ¥960,000). A quick-deduction amount ensures you only pay the higher rate on income within each bracket.
Special additional deductions include children's education (¥2,000/child/month), continuing education, serious illness medical expenses, housing loan interest or rent, and elderly care. These are claimed on an annual basis and reduce your taxable income.