China Individual Income Tax & Annual Bonus Calculator 2026

Estimate annual comprehensive-income tax for a mainland China resident and compare separate versus combined taxation of a qualifying annual bonus.

Annual estimate for a mainland China resident individual. Enter your annual employee social-insurance and housing-fund contributions. All amounts are in renminbi. Results follow the formula and inputs shown on the page; match filing, lending and retirement decisions to the relevant official record.

Seven special additional deductions
Enter eligible months and children as an annual total; the current amount is ¥2,000 per eligible child per month.
Enter eligible months and children as an annual total; the current amount is ¥2,000 per eligible child per month.
The model deducts the part above ¥15,000, capped at an annual ¥80,000 deduction.
Estimated tax under the recommended method

Lower-tax method:

Total tax if bonus is separate
Total tax if bonus is combined
Income after tax and employee contributions
Special additional deductions

Assumptions and sources: Based on the Individual Income Tax Law, the current seven special additional deductions and the annual-bonus method extended through 2027. The result follows an annual comprehensive-income basis; match monthly withholding, other income and local reductions to the filing records.

Calculation basis

Market
China mainland
Last updated
Next review
When a cited national rule, reference rate or pension formula changes

How this calculator works

Enter annual salary, a qualifying annual one-off bonus, employee social-insurance and housing-fund contributions, and special additional deductions. The tool calculates both permitted bonus treatments and identifies the lower estimate.

Calculation method

Comprehensive income is reduced by the ¥60,000 annual basic deduction, entered employee contributions and eligible special additional deductions, then uses the 3%–45% annual progressive table. A separately taxed bonus uses bonus divided by 12 to choose the monthly band, while tax is charged on the full bonus.

Check before using the estimate

The page estimates annual resident comprehensive income. Match monthly cumulative withholding, other income, non-resident treatment, local reductions and tax already withheld to the relevant filing records.

Worked example

Defaults: salary ¥180,000, bonus ¥30,000, no social insurance, no special deductions.

ItemCalculationAmount
Taxable income¥180,000 − ¥60,000 basic deduction¥120,000
Comprehensive tax (10% band)¥120,000 × 10% − ¥2,520 quick deduction¥9,480
Bonus taxed separately (3% band)¥30,000 ÷ 12 = ¥2,500; ¥30,000 × 3%¥900
Total tax (separate treatment)¥9,480 + ¥900¥10,380
After-tax income¥180,000 + ¥30,000 − ¥10,380¥199,620

Combined treatment comparison: taxable income = ¥180,000 + ¥30,000 − ¥60,000 = ¥150,000, which crosses into the 20% band, tax = ¥13,080, ¥2,700 higher than separate treatment. The tool defaults to the lower separate treatment.

Input variations

ChangeNew inputResultvs default
Bonus ¥30,000 → ¥60,000Bonus ¥60,000Separate ¥15,270 / combined ¥19,080Separate still wins, saves ¥3,810
Add ¥40,000 social insurance + ¥40,000 special deductions¥80,000 deductionTaxable ¥40,000, tax ¥1,480 + bonus ¥900 = ¥2,380From ¥10,380 down to ¥2,380
Special deductions below ¥84,000Taxable < ¥36,000Crosses into 3% bandMarginal effect sharp near band boundaries

Within the same band, special deductions directly lower the tax base; near band boundaries (¥36,000 / ¥144,000 / ¥300,000 etc.), each extra yuan deducted produces a band-jumping saving.

Differences from official documents

Differences from final annual tax filing come from: monthly cumulative withholding recalculates each cumulative period and is not continuous with the annual estimate; other income (labor remuneration, royalties,特许使用费) is treated differently in comprehensive taxation; tax already withheld and source-withholding amounts must be deducted from the final tax; non-resident individuals use a monthly-converted comprehensive income table. This page is a comparison tool, not a substitute for any filing form.

Thresholds and limits

Basic deduction ¥60,000/year; tax bands 3%, 10%, 20%, 25%, 30%, 35%, 45% with quick deductions ¥0, ¥2,520, ¥16,920, ¥31,920, ¥52,920, ¥85,920, ¥181,920; serious-illness medical deduction cap ¥80,000, threshold ¥15,000; child education ¥24,000/child/year (same for under-3 infant care); mortgage interest ¥12,000/year (first home, max 240 months); rent ¥18,000/¥13,200/¥9,600/year (city-tiered); elder support ¥36,000/year (only child) or ¥18,000/year (non-only-child, split); continuing education ¥3,600/year by certificate or ¥400/month by degree. Bonus separate-treatment policy extended to 31 December 2027.

Documents to check

Payslips or employer-issued annual income statement; personal social insurance and housing fund contribution records (social security app, provident fund account); bank loan interest certificate (for mortgage interest deduction); tenancy contract and rent invoice (for rent deduction); children birth certificate and education institution proof; continuing education certificate or student record; serious-illness medical service invoices and medical insurance settlement; elder support relationship proof and split agreement; special additional deduction declaration records in the tax authority app; annual tax filing return issued by the tax authority.

Separate annual settlement, cumulative withholding and the bonus choice

The page compares full-year resident comprehensive-income scenarios rather than reproducing each payslip.

Annual liability is not one payroll percentage

Payroll commonly uses cumulative withholding affected by start month, tax already withheld and year-to-date deductions. Reconcile this annual model with settlement and tax records.

Separate bonus treatment is not always cheaper

An eligible annual bonus can select a monthly-equivalent bracket or join comprehensive income. Salary, deductions, bonus size and crossed brackets determine the lower result.

Primary source

State Taxation Administration: Individual Income Tax Law

Frequently asked questions

Can a 2026 annual bonus still be taxed separately?

Current policy extends the qualifying annual one-off bonus method through 31 December 2027. The calculator also shows the combined-income alternative.

What should I enter for social insurance?

Enter the employee amount actually paid for the full year. Bases and rates vary locally, so the tool does not assume a city.

Is this the final annual tax filing amount?

No. Eligibility, other income, tax already withheld and the tax authority’s determination can change the final amount.

Which thresholds can change the result?

Basic deduction ¥60,000/year; tax bands 3%, 10%, 20%, 25%, 30%, 35%, 45% with quick deductions ¥0, ¥2,520, ¥16,920, ¥31,920, ¥52,920, ¥85,920, ¥181,920; serious-illness medical deduction cap ¥80,000, threshold ¥15,000; child education ¥24,000/child/year (same for under-3 infant care); mortgage interest ¥12,000/year (first home, max 240 months); rent ¥18,000/¥13,200/¥9,600/year (city-tiered); elder support ¥36,000/year (only child) or ¥18,000/year (non-only-child, split); continuing education ¥3,600/year by certificate or ¥400/month by degree. Bonus separate-treatment policy extended to 31 December 2027.

Why can the result differ from official documents?

Differences from final annual tax filing come from: monthly cumulative withholding recalculates each cumulative period and is not continuous with the annual estimate; other income (labor remuneration, royalties,特许使用费) is treated differently in comprehensive taxation; tax already withheld and source-withholding amounts must be deducted from the final tax; non-resident individuals use a monthly-converted comprehensive income table. This page is a comparison tool, not a substitute for any filing form.

Which records should I prepare before using the result?

Payslips or employer-issued annual income statement; personal social insurance and housing fund contribution records (social security app, provident fund account); bank loan interest certificate (for mortgage interest deduction); tenancy contract and rent invoice (for rent deduction); children birth certificate and education institution proof; continuing education certificate or student record; serious-illness medical service invoices and medical insurance settlement; elder support relationship proof and split agreement; special additional deduction declaration records in the tax authority app; annual tax filing return issued by the tax authority.

Important: All figures are for educational purposes only and do not constitute financial advice. Always consult a qualified professional.