China: creates new definition to help calculate taxable income

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Tax officials in China have issued a statement which lays out new guidelines regarding individuals’ tax accountability on the disposal of personal non-monetary asset investments, including shares and land & property. Taxable income from the transfer of non-monetary assets is now defined has now been officially defined. The below equation can be used to help citizens to calculate how much tax on income should be paid:

Estimated fair value – The original value + Reasonable expenses = Taxable income