Notice on the Individual Income Tax Policy for High-end and Shortage Talents in Hainan Free Trade Port

Finance and Taxation [2020] No. 32

Hainan Provincial Department of Finance, State Administration of Taxation Hainan Provincial Taxation Bureau:
In order to support the construction of Hainan Free Trade Port, the following personal income tax preferential policies are hereby notified:
1. For high-end talents and scarce talents working in Hainan Free Trade Port, the part of their actual personal income tax burden exceeding 15% shall be exempted.
2. The income enjoying the above preferential policies includes comprehensive income from Hainan Free Trade Port (including wages and salaries, labor remuneration, royalties, and franchise royalties), business income, and talent subsidy income recognized by Hainan Province.
3. Taxpayers enjoy the above preferential policies when handling annual personal income tax settlement in Hainan Province.
4. A list management system will be implemented for high-end talents and scarce talents enjoying the above preferential policies, and the Hainan Provincial Department of Commerce and Finance and the State Administration of Taxation will formulate specific management measures.
5. This notice will be implemented from January 1, 2020 to December 31, 2024.

Ministry of Finance, State Administration of Taxation
June 23, 2020