Notice about Individual Income Tax on Dividend Income

Ministry of Finance, The State Administrative of Taxation
Cai Sui [2005] No. 102
13 June 2005

In order to promote the development of capital market, the tax treatment of dividend income has been amended as below after obtaining approval from the State Council:

50% of the dividend income that received from listed company for individual investor is subject to IIT.

This notice will be taken into effect starting from the issued date.

財政部 國家稅務總局
財稅[2005]102號
二OO五年六月十三日

為促進資本市場發展，經國務院批准，現將個人所得稅股息紅利所得有關稅收政策問題通知如下：
一、對個人投資者從上市公司取得的股息紅利所得，暫減按50％計入個人應納稅所得額，依照現行稅法規定計征個人所得稅。
二、上述規定自文發之日起執行。