Overview

The People’s Republic of China (PRC), as you might expect, has a wide range of social insurances, which provide benefits for employees in certain circumstances, these deductions from pay sit alongside income tax. There is a range of mandatory payments including variations by region plus a wide range of employer obligations.

Who is this course for?

This course is aimed at those Payroll & HR Professionals who are processing or managing Vendors who process Payrolls in China and need to have an understanding of the legislative and legal requirements involved.

What will you achieve?

Having attended this course delegates will have confidence that they understand the fundamentals of payroll processing in China, are clear about employer obligations including those for residents and non-residents, know what they need to do on a periodic and annual basis, can answer employee queries and check payslips. Even if payrolls are outsourced it is still the employer’s responsibility to ensure all obligations are met and that income tax and social security are correctly processed. This course not only gives you the information you need to be compliant but also ensures you know exactly what information should be given to a payroll provider and the various tasks they should be completing on your behalf.

What will be covered?

Introduction to China:

Taxation in China:

• Taxation in China including the State Administration of Taxation (SAT)
• Individual income tax (IIT)
• Tax rates for residents
• Tax rates for non-residents
• Mandatory returns for withholding agents
• Annual Filing

Social Insurance in China:

• Medical insurance
• Unemployment insurance
• Work related injury insurance
• Pension insurance
• Maternity insurance
• Foreign workers including social insurance numbers
• Housing Fund
• Disabled workers employment assistance fund

Employment in China:

• Employer obligations
• Starters and leavers
• CompensationEmployment contracts
• Termination and severance pay
• Annual bonus

Types of Leave in China:

• Annual leave
• Maternity leave
• Public holidays

Calculations:

• Calculating taxable income for Chinese nationals
• Calculating taxable income for foreign workers and expatriates
• Examples of calculations including the quick calculation deductions
  

Summary

Delegates will be given a comprehensive understanding of the fundamentals of payroll in the People’s Republic of China (PRC). A range of social insurances and mandatory payments with regional variations are among the complexities companies need to navigate to remain compliant and provide satisfactory oversight of providers.