Tax Planning of Individual Income Tax under the New Individual Income Tax Law

Abstract

Since January 1, 2019, our country's individual income tax has implemented a collection system combining classification and synthesis. Great changes have taken place in the new individual tax collection methods, tax items, tax rates and deductions, how to carry on the individual income tax planning under the new individual income tax law appears to be particularly important. Therefore, this article intends to study the changes of the new personal income tax law from the aspects of the collection method, tax items, tax rates and deductions, and analyze the effects of these changes on the planning of personal income tax, and propose the planning scheme of personal income tax from different angles, reduce personal income tax burden, reduce tax expenditure, increase personal income after tax.