Are there variations to the previous taxation liability formula?
The formula mentioned above can be varied if the expatriate employee is one who benefits from a tax equalization plan. Under such equalization plans, the employer bears, on behalf of the employees assigned to work in China, the tax which exceeds that of their original country of residence. The expatriate employee's wages following deduction of the tax of his original country of residence will be the "monthly income" in this case.
Back
