State Administration Of Taxation's Review Of Employees' Insurance Premium Paid By Employers And Payment Of Individual Income Tax

State Administration of Taxation

National Tax Issue [2005] No. 318

2005-04-13

On April 13 2005, State Administration of Taxation reviewed the "Request concerning employees' insurance premium paid by employers and payment of individual income tax" and regulated the followings: The enterprise paying the tax-free insurance premium such as medical insurance, basic insurance for retirement, insurance for unemployment etc. The enterprise should also calculate individual income tax according to "income from salary & wages" calculation. While the enterprise pay premium to insurance companies, they should also include this amounts into the salary of their employees.

國家稅務總局
國稅函[2005]318號
2005-04-13

國家稅務總局於4月13日批復《關於代扣代繳單位為員工支付保險有關繳納個人所得稅問題的請示》，批復規定：企業為員工支付除醫療保險費，基本養老保險費，失業保險費等免稅之外的保險金，需按"工資、薪金所得"專案計征個人所得稅，在企業向保險公司繳付時並入員工當期的工資收入。