China: Preferential individual income tax policies extended

Extension of preferential individual income tax policies until 31 December 2023

Extension of preferential individual income tax policies until 31 December 2023

The Ministry of Finance and State Taxation Administration, on 16 January 2023, announced the extension of the following preferential individual income tax policies for one year, until 31 December 2023:

  • Preferential tax treatment of employee’s equity income from participation in equity plans of public companies
  • Temporary exemption from individual income tax of gains from investments by mainland individual investors through the Shanghai-Hong Kong Stock Connect, the Shenzhen-Hong Kong Stock Connect and from the trading of Hong Kong fund units under the mutual recognition of funds

For more information contact a KPMG tax professional:

David Ling |


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