“6 Major Changes in Income Tax Filing to Know for May Tax Season”

2023-04-25 08:30:09

May tax season is upon us. (File photo of this newspaper)


Tax filing is coming in May. Taxpayers need to pay attention to the six major changes in income tax filing this year. Due to the current loosening of the epidemic prevention policy, this year’s tax filing time is only one month, from May 1st to May 31st. If you are a married person, you can choose the more favorable one from the three tax calculation methods to file a joint declaration. “China Times News Network” helps the public to sort out the information together.

Tax declaration change 1: Tax allowances, standard deductions, special deductions for wages and disabilities, and tax brackets have all been increased.

Tax declaration change 2: Basic living expenses are raised to 196,000 yuan, which is an increase of 4,000 yuan per person compared with 110 years. The more you support, the more you save.

Tax declaration change 3: Increase the fixed tax exemption amount for retirement income. The Ministry of Finance announced that one-time recipients are 188,000 yuan x retirement service years, and those who receive installments are the total amount received for the year, minus 814,000 yuan.

Tax declaration change 4: Donations to Ukraine through the special account of the Ministry of Foreign Affairs can be reported in full without an upper limit for tax deduction.

Tax declaration change 5: The monthly rental income tax exemption for public lessors is increased to 15,000 yuan, and the annual tax exemption is 180,000 yuan.

Tax declaration change 6: Losses incurred in the sale of securities such as unlisted over-the-counter stocks can be deducted from the transaction income.

How to declare the most economical tax declaration for couples? According to Article 15 of the Income Tax Law, except for the status of separation, both husband and wife or spouses should apply for joint filing. According to this weekly report, you can choose the more favorable joint filing for the following 3 tax calculation methods:

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1. Consolidated calculation of income: It is suitable for couples with a large income gap and only one person has income.

2. Salary income is calculated separately: it is suitable for families with higher income or double-income families. It is recommended to declare the income of the higher income, while the income of the other party should be reported together with other income.

3. Separate calculation of various types of income: suitable for groups with multiple incomes that are greater than salary, such as dividend income, rental income, and income from performing business, etc.


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