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On September 4th, the Shenzhen Municipal Finance Bureau and Taxation Bureau jointly announced the extension of the application period for the highly anticipated individual income tax (IIT) subsidies in the Guangdong-Hong Kong-Macao Greater Bay Area (GBA). From September 10th to October 10th, foreign high-end talents and urgently needed professionals can submit supplementary applications for the fiscal subsidies on their individual income taxes for the years 2021, 2022, and 2023. This provides many applicants with a second chance to benefit from the policy, with the maximum subsidy amount reaching 5 million yuan (approximately 690,000 USD).
The policy was launched in May of this year. Although the June deadline has passed, the reopening of the application window has prompted many foreign talents to prepare their materials, hoping to alleviate their tax burdens through the subsidy program. Applicants must meet certain identity and employment criteria and demonstrate that they work in key industries in Shenzhen, such as technological innovation and modern services. They need to have worked in Shenzhen for at least 90 days during the tax year and must comply with legal and ethical standards. Companies must also meet corresponding standards, including maintaining a good tax record and possessing relevant industry qualifications.
This policy not only benefits the economic interests of foreign talents but also serves as a symbol of professional honor, especially for those holding the " Youyue Talent Card " or the " Pengcheng Youcai Card," who are given priority in the application process. The subsidy program is designed to be smooth, and once the application is approved, the subsidy will be directly deposited into the applicant's account.
In addition, the extension of the individual income tax subsidy policy in the Guangdong-Hong Kong-Macao Greater Bay Area until 2027 further demonstrates Shenzhen's commitment to attracting global high-end talent and reducing their tax burdens. This will continue to promote the development of Shenzhen as a hub for high-end talent.
At PHC Advisory, we can offer you full support on matters regarding doing business in China, or any other issues your business may face. If you would like to know more about policies relevant to your business in Italy or Asia, please contact us at info@phcadvisory.com.
PHC Advisory is a company of DP Group: an international professional services conglomerate of companies with approximately 100 experienced professionals worldwide. We offer comprehensive services in tax, accounting, and financial consulting, including financial supervision, financial audit, internal audit, internal control over financial reporting, and support for audited financial statements and annual audits, ensuring clients' financial transparency and compliance.
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The content of this article is provided for informational purposes only, financial advice must be tailored to the specific circumstances on a case-by-case basis, and the contents of this article do not legally bind PHC Advisory with the reader in any way.
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