Job Discussion Forums

[Roger]

Just to remind some of you out there that the tax authorities in China are interested in you!

This may be of special interest to MOONLIGHTERS and FREELANCERS, in short those that are working in a grey zone.

Nationally, we stand to pay a tax if our income exceeds 4000 RMB. Whether this national rule is locally applied or not is another matter!

In my jurisdiction, it is not UNIFORMLY applied. It does exist, though!

For instance, in public schools teachers' salaries are routinely subjected to a tax cut, and they get a receipt.

In other schools, especially private ones, the authorities don't collect the tax.
I have had several jobs over the years here as a part timer, and I have never been asked to pay towards the public coffers. However, recently I was hired by a foreign-owned business to train their staff.

A complication arose: Who is going to pay the tax now?

Two options:
- Either the company HIRES me (but would have to get approval from the PSB to do so). Relatively unlikely!
- Alternative: I work on my own, but that is not legal as the PSB would have to see my business licence!
Therefore, I need a LETTER from my employer stating that I have the permission to work extra!
This is NOT legal according to national guidelines, and my school cannot do this!

Therefore, I am going to be in a legal vacuum.

It is not solved yet, but the way I see it is going to be handled is that they will "negotiate" with the local PSB office to get a special deal!

I will pay 20% on my saloary!

[arioch36]

In Henan the Bureau sent out an official letter to all the school (or at least the ones who have the legal right to hire foreigners) warning against allowing us to work two jobs.
I think much of their laxness in enforcement has nothing to do with "guanxi" or relationships private schools might have, and more to do with laxness and ineffeciency, something that I think is slowly ending as China fights hard to join this wonderful "modern world"