Personal income tax standards on wages (detailed explanation of the latest personal tax thresholds and tax rate adjustments in 2022)

1. Introduction

Personal income tax on wages refers to personal income from wages and salaries Taxes withheld. With the development of economy and progress of society, the threshold and tax rate of personal income tax also need to be adjusted accordingly. This article will provide a detailed analysis of the latest personal income tax thresholds and tax rate adjustments in 2022 to help readers better understand personal income tax standards.

2. Adjustment of the personal income tax threshold

The personal income tax threshold refers to the exemption amount stipulated in the Personal Income Tax Law. Salary income exceeding this amount needs to pay personal income tax. According to the latest adjustment, the personal income tax threshold in 2022 will be increased from the previous 5,000 yuan to 6,000 yuan. This means that in 2022, only those with a monthly income of more than 6,000 yuan will need to pay personal income tax.

3. Adjustment of personal income tax rate

In addition to the adjustment of the threshold, the personal income tax rate also Adjustments will be made accordingly. According to the latest regulations, the personal income tax rate in 2022 will be divided into seven levels, namely 3%, 10%, 20%, 25%, 30%, 35% and 45%. Specific tax rates apply to different income levels. The tax rates and applicable scope of each level will be introduced in detail below.

1. 3% tax rate

The 3% tax rate applies to people with a monthly income of less than 6,000 yuan. This means they only need to pay personal income tax at 3% of their monthly income.

2. 10% tax rate

The 10% tax rate applies to people with a monthly income between 6,001 yuan and 35,000 yuan. This level of tax rate has a wide application range and covers most middle-income people.

3. 20% tax rate

The 20% tax rate applies to people with a monthly income between 35,001 yuan and 55,000 yuan. The tax rate in this bracket is relatively high and more personal income tax needs to be paid.

4. 25% tax rate

The 25% tax rate applies to people with a monthly income between 55,001 yuan and 80,000 yuan. This tax bracket applies to relatively high-income people.

5. 30% tax rate

The 30% tax rate applies to people with a monthly income between 80,001 yuan and 100,000 yuan. The tax rate in this bracket is relatively high and more personal income tax needs to be paid.

6. 35% tax rate

The 35% tax rate applies to people with a monthly income between 100,001 yuan and 300,000 yuan. This tax bracket applies to relatively high-income people.

7. 45% tax rate

The 45% tax rate applies to people with a monthly income of more than 300,000 yuan. The tax rate at this level is the highest and you need to payPay the most personal income tax.

4. How to calculate personal income tax

Now that we understand the adjustment of the threshold and tax rate, let’s take a look at how to calculate personal income tax. The calculation formula of personal income tax is as follows:

Personal income tax = taxable income × applicable tax rate - quick calculation deduction

Among them, "taxable income" refers to personal salary income minus various The amount after the item tax exemption; the "applicable tax rate" is the tax rate determined based on the individual's monthly income; the "quick calculation deduction" is the deduction determined based on the individual's monthly income.

Give an example to illustrate the method of calculating personal income tax. Suppose someone's monthly income is 8,000 yuan. According to the personal income tax rate table, we can know that his applicable tax rate is 20%. Then, his personal income tax calculation method is as follows:

Taxable income = 8000 - 6000 = 2000 yuan

Personal income tax = 2000 × 20% - 0 = 400 yuan

5. Declaration and payment of personal income tax

The declaration and payment of personal income tax are aspects that every taxpayer needs to pay attention to. According to the provisions of the Personal Income Tax Law, personal income tax can be paid in two ways, namely monthly prepayment and annual settlement.

Monthly prepayment means that during the monthly salary payment process, the enterprise or individual deducts the tax payable according to the tax rate and pays the personal income tax to the tax authority before the 15th of the next month. This method can share the burden of personal income tax and reduce the pressure of one-time payment.

Annual settlement means that between March 1 and June 30 of each year, taxpayers need to settle and pay the personal income tax of the previous year. Taxpayers need to fill out a personal income tax settlement return form and submit it to the local tax authority.

6. Conclusion

Personal income tax is a problem that every working class needs to face. Understanding the threshold and tax rate adjustments for personal income tax is very important for rational planning of personal finances. I hope this article can help readers better understand the latest personal tax thresholds and tax rate adjustments in 2022, and provide certain reference and guidance for personal financial management.