The State Administration clearly stated that overtime pay is not classified as a subsidy or allowance and should be taxed as salary income. On the same day, the Taxpayer Service Department of the State Administration answered hot issues regarding taxpayer consultations. It was clarified that individuals' overtime pay during legal holidays does not fall under subsidies or allowances uniformly distributed by the state, and it must be taxed as salary income. Meanwhile, adding one's name to pre-marital property after marriage does not require stamp duty.
Overtime pay should be included in salary income for taxation according to law. According to Article 4, Clause 3 of the "Individual Income Tax Law," subsidies and allowances distributed uniformly by the state are exempt from individual income tax. According to the provisions of the "Labor Law" regarding overtime pay on holidays, if employees work on rest days and cannot be given compensatory leave, they should receive no less than 200% of their wages as compensation; if they work on statutory holidays, they should receive no less than 300% of their wages as compensation.
Therefore, some taxpayers asked: Does overtime pay received at double or triple rates during national statutory holidays fall under "subsidies and allowances distributed uniformly by the state"?
In response, the Taxpayer Service Department of the State Administration said: According to Article 13 of the "Regulations for the Implementation of the Individual Income Tax Law," the subsidies and allowances mentioned in Article 4, Clause 3 of the "Individual Income Tax Law" refer to special government allowances, academician allowances, senior academician allowances distributed according to State Council regulations, and other subsidies and allowances specified by the State Council as exempt from individual income tax. Therefore, overtime pay does not fall under subsidies and allowances distributed uniformly by the state, and it should be included in salary income for taxation according to law.
No stamp duty required for adding names to pre-marital property after marriage
Additionally, regarding the question of whether "adding one's name to pre-marital property after marriage requires stamp duty," the Taxpayer Service Department clearly stated that no stamp duty is required.
Because, according to Article 5 of the "Detailed Rules for the Implementation of the Provisional Regulations on Stamp Duty," the property transfer documents mentioned in Article 2 of the Provisional Regulations refer to documents established due to the buying, inheriting, gifting, exchanging, or dividing of property rights by units and individuals. According to the "Marriage Law," post-marital agreements can change individual property into joint property. Therefore, adding one's name to pre-marital property after marriage is a form of property disposition between spouses, an agreement made by spouses about their property relationship, which does not represent a change in property rights and is not the ordinary gift relationship in the general sense. Thus, according to current regulations, it does not fall within the scope of taxation stipulated in Article 5 of the "Detailed Rules for the Implementation of the Provisional Regulations on Stamp Duty," and no stamp duty is required.
It is understood that the "Taxation Services" column, which answers the above two questions, is a taxpayer consultation column specially opened on the official website of the State Administration for popularizing legal knowledge and convenience for the people. The column promises "answers to all questions." At the same time, the Taxpayer Service Department will answer frequently asked hot issues raised by netizens each week. However, taxpayer consultations are not specific administrative actions, meaning they do not accept, process, or forward various specific administrative matters, such as various declarations, approvals, filings, etc.
Source: Mocheng Network