1. Guangxi
https://guangxi.chinatax.gov.cn/zcwj/zxwj/201806/t20180616_254700.html
Announcement of the Local Taxation Bureau of Guangxi Zhuang Autonomous Region on Amending the Implementation Measures for the Administration of Individual Income Tax on Income from Equity Transfer
Article 12 Reasonable expenses refer to the taxes and fees paid by natural person shareholders in the process of transferring equity in accordance with regulations, including stamp duty, asset appraisal fees, intermediary service fees, etc.
2. Anhui
https://anhui.chinatax.gov.cn/art/2020/8/18/art_9438_786629.html
4. What are the reasonable taxes and fees that are allowed to be deducted when calculating the income from equity transfer?
Answer: The reasonable taxes and fees that are allowed to be deducted when calculating the income from equity transfer mainly include the taxes paid by individuals when transferring equity according to regulations, the intermediary service fees actually paid with legal bills, asset appraisal fees and other related reasonable expenses, except for the taxes and expenses that have been accounted for as the costs and expenses of the invested enterprise.
Document basis: Announcement of Anhui Provincial Local Taxation Bureau on Matters Concerning the Collection and Administration of Individual Income Tax on Income from Equity Transfer (Announcement No. 9 of 2016 of Anhui Provincial Local Taxation Bureau)
3. Fujian
http://fujian.chinatax.gov.cn/bsfw/nsfwrx/12366wtj_201/202106/t20210615_413003.htm
20. Can the consulting fee paid in the process of transferring equity by an individual be deducted in the calculation of individual income tax?
Answer: According to Article 4 of the "Announcement No. 67 of the State Administration of Taxation on the Issuance of the State Administration of Taxation" (Announcement No. 67 of 2014 of the State Administration of Taxation), "for the transfer of equity by an individual, the balance of the equity transfer income after deducting the original value of the equity and reasonable expenses shall be the taxable income, and the individual income tax shall be paid according to the 'income from property transfer'."
Reasonable expenses refer to the relevant taxes and fees paid in accordance with the regulations when the equity is transferred. ”
Therefore, the consulting fee paid in the process of transferring equity by an individual is not a reasonable expense of "income from property transfer" and cannot be deducted in the calculation of individual income tax.
4. Shanxi
shanxi.chinatax.gov.cn/web/detail/sx-11400-582-1777041
"Original value of property" in the "Withholding Individual Income Tax Return" (applicable to withholding and payment of classified income) = "original value of equity" in the "Equity Transfer Information Form of Individual Shareholders"
- Allowable tax deduction: It refers to the taxes and reasonable expenses incurred by the taxpayer of the transferor in the process of equity transfer. Fill in the amount of the "Property Rights Transfer Document-Equity Transfer Document" listed in the stamp duty tax stamp paid by the taxpayer of the transferor, the amount of the appraisal fee incurred, the amount on the invoice of the intermediary fee, etc.
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