During an executive meeting held on 29 December 2021, China's State Council decided to extend the implementation of certain individual income tax preferential policies. This includes:
- The exclusion of annual year-end bonuses in calculating monthly salary income is extended until the end of 2023, with bonuses taxed according to a separate calculation, which is essentially meant to prevent bonuses from increasing an individual's tax bracket;
- For individuals with annual income below CNY 120,0…