Breaking | China ends dividend tax exemption for expats, applying 20% rate
- Posted on September 1, 2026
- By South China Morning Post
- 3 Views
- 1 min read
In brief
China has terminated the long-standing tax exemption on dividends previously granted to foreign nationals employed by foreign-invested enterprises operating within the country. Starting immediately, expatriates will now face a standardized 20% taxation rate on dividend income, marking a significant shift in the nation's fiscal policy toward international workers and aligning dividend treatment with domestic standards.
Summary auto-generated by AI from the original publisher's content. Editorial standards.
Breaking | China ends dividend tax exemption for expats, applying 20% rate
Exemption, previously enjoyed by overseas nationals on gains from foreign-funded firms in China, cancelled in an announcement on Tuesday.
