Do I have to pay tax on scratch music?

When the winning amount of scratch music exceeds the tax-free amount stipulated by the tax authorities, personal income tax is required. As scratch music is a one-time invoice, the tax payable is calculated at the withholding rate of 20%.

As a lottery form, scratch music is also a common lottery type in China. Whether or not to pay personal income tax after buying scratch music is a matter of concern to everyone. According to the relevant regulations of the tax authorities, if the winning amount of individual music from scratch exceeds the tax-free amount stipulated by the tax authorities, individual income tax is required. At present, the pre-tax exemption amount stipulated in the Individual Income Tax Law is 5,000 yuan, that is, the part of individual labor income that does not reach 5,000 yuan is exempt from individual income tax. If the winning amount of scratch music exceeds 5000 yuan, you need to pay personal income tax. For this one-time billing, the tax payable is calculated at the withholding rate of 20%. It should be noted that for small prizes with a winning amount of several hundred yuan, sellers generally withhold taxes and pay the winning money directly. However, for high winners, they need to pay their own personal income tax, and then go to the lottery sales point to receive the winning bonus.

How to pay personal income tax after winning the lottery? The winner of scratch music needs to record the income on the tax return form after winning the prize, and at the same time declare and pay personal income tax at the local tax authorities. For the specific operation process, you can consult the tax authorities, or you can log in to official website and the tax bureau for online declaration.

If the winning amount of scratch music exceeds 5,000 yuan, individual income tax shall be paid, and the withholding rate shall be 20%. Winners need to record their income on the tax return form, and then go to the local tax authorities to declare and pay personal income tax. For small prizes with a winning amount of several hundred yuan, usually the seller will withhold the tax and pay the winning money directly.

Legal basis:

"Regulations for the Implementation of the Individual Income Tax Law of the People's Republic of China" Article 101 The unpaid income of People's Republic of China (PRC) taxpayers in China, after deducting expenses, shall be taxed at the rate of 20%.