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Individual income tax finalization for foreigners in China. By Eunice Ku. Jan. 14 â Individual income tax (IIT) is normally withheld from wages or salaries by employers and paid to the tax authorities on a monthly basis (within 15 days of the end of each month).
accounts for social insurance rather than centralized tax/transfer programs. In short, China has a tax system that relies relatively heavily on consumption taxes, and its. individual income tax is structured to avoid or reduce the excess layers of tax on saving and. investment usually found in income tax systems.