I downloaded China's tax app and filed my taxes. The interface was surprisingly... good?
My friend from Germany has been working in Shanghai for 18 months. Every March, China requires annual personal income tax reconciliation.He got a text from his company: "Please complete your 个税汇算 on the个人所得税APP by June 30."
He was terrified.
The app:
个人所得税 (Individual Income Tax)
Download: iOS App Store or Android app stores
Size: 200MB
Rating: 2.3 stars (mostly from Chinese users complaining about taxes, not the app itself)
The login:
He opened the app.
• Option 1: Chinese ID + face scan
• Option 2: Foreign passport + phone number
• Option 3: Foreign passport + email
He chose Option 2. Entered his passport number. Got an SMS code. Set a password.
Then came the face scan.
The app asked him to blink. Turn his head left. Turn his head right. It worked on the first try.
The interface:
He expected a nightmare of red tape. Instead:
• Clean white design
• Big buttons
• Step-by-step wizard
• All his income already pre-filled by his employer
• Deductions listed: social insurance, housing fund, special additional deductions
He just had to verify the numbers and click "Confirm."
The special deductions:
China allows foreigners to claim:
• Housing rent (¥1,500/month standard deduction)
• Children's education
• Continuing education
• Elderly parent support
• Mortgage interest
• Critical illness medical expenses
My friend claimed housing rent. The app asked for his landlord's name and ID number.
He didn't know his landlord's ID number.
He called his landlord. The landlord laughed and sent a photo of his ID.
Entered. Submitted. Done.
The result:
His employer had over-withheld tax by ¥2,400. The app calculated his refund automatically.
He clicked "Apply for Refund."
Three days later, the money appeared in his Chinese bank account.
Total time: 20 minutes.
Foreigner-specific rules:
Tax rates for foreigners:
• ¥0-3,000: 3%
• ¥3,000-12,000: 10%
• ¥12,000-25,000: 20%
• And higher brackets up to 45%
The 6-year rule:
• If you've lived in China for less than 6 consecutive years, you only pay tax on China-sourced income
• After 6 years, you pay tax on worldwide income
• But you can "reset" the 6-year clock by leaving China for more than 30 consecutive days in any year
Annual bonus:
• Foreigners can choose to tax their annual bonus separately or combined with salary
• Usually separate is better (lower tax rate)
The app is actually... good?
My German friend has filed taxes in Germany (paper forms, 4 hours), the US (TurboTax, $120), and now China (free app, 20 minutes).
His ranking:
1. China (fastest, simplest, cheapest)
2. US TurboTax (expensive but functional)
3. Germany (paperwork hell)
"I came expecting a bureaucratic nightmare. Instead I got a refund and an app that works better than most banking apps in Europe. China continues to confuse me."
Anyone else filed taxes in China? How was your experience?
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