Income tax on labor compensation can be as high as 40%, what about high freelance taxes?

The tax rate is really high when prepayment is made, you can make a tax refund when remittance is made.

Announcement of the State Administration of Taxation on Matters Concerning the Comprehensive Income Remittance of Individual Income Tax for the Year 2019

Announcement of the State Administration of Taxation No. 44 of 2019

I. The content of the 2019 annual remittance

According to the provisions of the tax law, after the end of the year 2019, the resident individuals (hereinafter referred to as " taxpayers") are required to summarize the income from wages and salaries, remuneration for labor services, remuneration for manuscripts, royalties, and other four incomes (hereinafter referred to as the "Comprehensive Income") obtained from January 1 to December 31, 2019, minus a fee of 60,000 yuan, as well as special deductions, special additional deductions, other deductions determined by law, and qualified charitable and philanthropic contributions. After deducting expenses of RMB60,000, special deductions, special additional deductions, other deductions and qualified donations for public welfare and charitable undertakings (hereinafter referred to as "donations"), apply the individual income tax rate for comprehensive income and subtract the number of quick-deduction figures (see the Annex for the tax rate table), calculate the final amount of tax payable for the current year, and subtract the amount of tax prepaid in the year of 2019 to arrive at the amount of tax to be refunded or made up for the current year, and declare and apply for the refund or make-up tax to the tax authorities. declare and apply for tax refund or tax replacement. The specific formula is as follows:

The amount of refundable or compensatory tax to be remitted for the year 2019 = [(Comprehensive income income - 60,000 yuan - special deductions such as "three dangers and one fund" - special additional deductions such as children's education - other deductions determined in accordance with the law - donations) x the applicable tax rate - the number of quick deductions] - the amount of tax that has been paid in advance for 2019]

The final tax payable for the current year is then subtracted from the amount of tax that has been paid in advance. prepaid tax amount

Based on the provisions of the tax law, the 2019 annual remittance only calculates and settles the refundable or compensatory tax of the current year's comprehensive income, and does not relate to the previous or subsequent years, or to the categorized income such as property leasing and other income, as well as income such as annual lump sum bonuses, which taxpayers have chosen to exclude from the calculation of the comprehensive income for tax purposes in accordance with the provisions of the tax law.