Foreign Individuals’ Dividends from FIEs Now Taxed at 20%: Reading MOF/STA Announcement 2026 No. 27
- The Ministry of Finance and the State Taxation Administration issued Announcement 2026 No. 27 on 1 September 2026, and it took effect on the same day.
财政部、税务总局于2026年9月1日发布《关于外籍个人股息红利个人所得税政策有关事项的公告》（财政部 税务总局公告2026年第27号），自2026年9月1日起执行。
- Article 1 taxes dividends that a foreign individual receives from a foreign-invested enterprise as “interest, dividends and bonus income”, at a rate of 20 per cent.
第一条规定，外籍个人从外商投资企业取得的股息红利所得，按照”利息、股息、红利所得”缴纳个人所得税，适用20%税率。
- Article 2 places the withholding duty on the enterprise: it must withhold and pay the tax and file the return within the first 15 days of the month following payment; where it fails to withhold, the foreign individual must pay by 30 June of the following year, or within the period set by the tax authority.
第二条规定，外商投资企业支付股息红利时应代扣代缴税款，并于支付所得的次月15日内申报纳税；企业未扣缴的，取得所得的外籍个人应在取得所得的次年6月30日前缴纳税款，税务机关通知限期缴纳的，应按期限缴纳。
- Article 3 repeals Article 2(8) of Cai Shui Zi [1994] No. 20, the provision that had exempted foreign individuals from individual income tax on dividends from foreign-invested enterprises.
第三条明确，本公告自2026年9月1日起执行，财税字〔1994〕20号第二条第（八）项同时废止，即原”外籍个人从外商投资企业取得的股息、红利所得”暂免征收个人所得税的规定不再适用。
- The official rationale is that the exemption had run for more than 30 years and no longer fits the current situation, in which foreign investment weighs the legal environment, market scale and industrial supporting capacity rather than an inward-versus-outward tax differential.
官方解读口径为：该项免税政策出台已超30年，随着中国加快构建高水平社会主义市场经济体制，外资来华更关注法治环境、市场规模、产业配套等整体营商环境，继续依靠内外资不平衡的税收政策吸引外资已与新形势新要求不相适应。
- Expert commentary carried by state media: Liu Yi of Peking University notes that a credit for Chinese tax against the residence-country liability means the actual burden need not rise; Li Xuhong of the Beijing National Accounting Institute frames the change as protecting the fairness and unity of the tax system and closing loopholes.
新华社、央视新闻引述的专家观点：北京大学中国财税研究中心主任刘怡指出，取消免税后外籍个人在中国缴纳的个税可以抵免其向居民国缴纳的税款，实际税负不会增加；北京国家会计学院副院长李旭红认为，此次调整有利于维护税制公平统一、堵塞税收漏洞、推进全国统一大市场建设。
- The 20 per cent rate is the domestic-law rate and not the final burden for every foreign individual: China’s tax treaties cap the source-country dividend tax — the China–United States treaty, for example, at 10 per cent — and a non-resident who is the beneficial owner and holds a tax-residence certificate may apply for the treaty rate.
20%是中国国内法规定税率，不等同于所有外籍个人实际承担的税负；中国对外签署的税收协定对股息预提税设置了上限，例如中美税收协定规定来源国征收的股息税款不超过股息总额的10%，非居民外籍个人满足”受益所有人”条件并能出具缔约对方税收居民身份证明的，可申请适用协定约定的优惠税率。
Foreign Individuals’ Dividends from FIEs Now Taxed at 20%: Reading MOF/STA Announcement 2026 No. 27 | 外籍个人从外商投资企业取得的股息红利恢复按20%计税：财政部、税务总局公告2026年第27号解读
Overview
On 1 September 2026 the Ministry of Finance (MOF) and the State Taxation Administration (STA) issued the Announcement on Matters Concerning the Individual Income Tax Policy on Dividends and Bonuses Received by Foreign Individuals (财政部 税务总局公告2026年第27号). It took effect on the same day, 1 September 2026.
The announcement is short — three articles — but it closes a position that had stood since 1994. Until it took effect, a foreign individual who received dividends from a foreign-invested enterprise (FIE) in China was exempt from individual income tax on that income. The announcement removes the exemption, applies the ordinary “interest, dividends and bonus income” treatment, and sets out how the tax is collected.
This note covers what the three articles say, the official rationale, the expert commentary published by state media, and the treaty layer that sits above the domestic rate. It stays within the text of the announcement and the published official interpretation; it does not import general compliance slogans that the announcement itself does not contain.
Article 1: the rate and the income category
Article 1 provides that dividends and bonuses that a foreign individual receives from an FIE are taxed as “interest, dividends and bonus income” under the individual income tax rules, at a rate of 20 per cent.
The change is one of category rather than of rate. Twenty per cent is the standard rate for interest, dividend and bonus income. What the announcement removes is the exemption that had kept this category of income outside the tax for foreign individuals; the income now falls squarely within the ordinary category.
Article 2: withholding and filing
Article 2 allocates the collection duty.
The FIE that pays dividends to a foreign individual must withhold the tax and file the return within the first 15 days of the month following the month of payment. If the FIE does not withhold, the foreign individual who received the income must pay the tax by 30 June of the following year. Where the tax authority notifies the individual to pay within a set period, the individual must pay within that period.
The article therefore provides a primary mechanism — withholding by the payer — and a fallback — direct payment by the recipient — with a further backstop where the tax authority issues a notice. The timing rules are specific and are the operational core of the announcement for finance teams.
Article 3: repeal of the 1994 exemption
Article 3 states that the announcement takes effect on 1 September 2026 and that Article 2(8) of the Notice of the Ministry of Finance and the State Administration of Taxation on Several Policy Issues Concerning Individual Income Tax (Cai Shui Zi [1994] No. 20) is repealed at the same time.
The repealed provision read: “the following income is temporarily exempt from individual income tax: income from dividends and bonuses obtained by foreign individuals from foreign-invested enterprises.” Its repeal is the operative change; the rest of the announcement supplies the collection mechanics that follow from it.
The official rationale
The official interpretation explains that the exemption had been in place for more than 30 years and played a positive role in attracting foreign investment at a particular stage. As China accelerates the building of a high-standard socialist market economy, the interpretation says, foreign investment coming to China pays more attention to the legal environment, market scale and industrial supporting capacity — the overall business environment. Continuing to rely on a tax policy that treats domestic and foreign capital unequally to attract foreign investment no longer suits the new situation and new requirements.
Expert commentary published by state media
Two expert views were carried by state media.
Liu Yi, director of the China Public Finance Research Centre at Peking University, observed that major European and American countries tax their residents on worldwide income. A foreign individual who received dividends from a Chinese FIE would, even with the Chinese exemption, have to top up the tax in the country of residence, so the actual burden was not reduced. After the exemption is removed, the individual income tax paid in China can be credited against the tax payable to the residence country, and the actual burden will not increase.
Li Xuhong, vice-president of the Beijing National Accounting Institute, said the adjustment helps protect the fairness and unity of the tax system and build a healthier foreign-investment environment, and helps close tax loopholes and advance the building of a unified national market.
The treaty layer: what the 20 per cent rate does not settle
The 20 per cent rate is the rate under China’s domestic law; it is not the final burden for every foreign individual. This point comes from the public interpretation published in the “Ting Shui” column of the Taian Tax Service of the State Taxation Administration, and it is an interpretation rather than the text of the announcement.
China’s tax treaties set a ceiling on the dividend withholding tax that the source country may levy. The China–United States treaty, for example, provides that the tax charged by the source country on dividends shall not exceed 10 per cent of the gross amount of the dividends. A non-resident foreign individual who meets the “beneficial owner” condition and can produce a certificate of tax residence of the contracting counterparty may apply for the preferential rate agreed in the treaty.
Two further points from the same interpretation matter in practice. First, the repeal is limited to the dividend exemption: the existing exemptions for foreign individuals’ housing subsidies and children’s education fees remain in place and are unaffected by this announcement. Second, an FIE should update its withholding process in good time, bring foreign individuals’ dividends within the withholding scope, and complete the filing and payment within the first 15 days of the month following payment. An FIE should also maintain a ledger of foreign shareholders that distinguishes resident individuals from non-resident individuals and records whether treaty treatment may apply, and keep certificates of tax residence and similar documents on file for inspection.
Sources
- 德阳市财政局 — 财政部 税务总局公告2026年第27号《关于外籍个人股息红利个人所得税政策有关事项的公告》全文转载: https://wap.deyang.gov.cn/gk/fjbm/fczj/fdnr/jsjb/1970347.htm
- 国家税务总局（政策发布与”听税”栏目入口）: https://www.chinatax.gov.cn/
- 财政部（公告发布入口）: https://www.mof.gov.cn/
- 中国税务网 — 公告27号与配套解读条目: https://www.focustax.cn/home/index/article?id=4457
- 中国宏观经济信息网 — 公告自2026年9月1日起执行的相关报道: http://macrochina.cn/news_speed/hgjj/20260902125376.shtml
- 新浪财经 — 外籍个人股息红利个税政策调整报道（2026-09-23）: https://finance.sina.cn/2026-09-23/detail-inisuhkp5382400.d.html
Related reading
- see also: non-taxable-transactions-vat
- see also: mnc-cash-pool-relaxation
外籍个人从外商投资企业取得的股息红利恢复按20%计税：财政部、税务总局公告2026年第27号解读
概述
2026年9月1日，财政部、税务总局发布《关于外籍个人股息红利个人所得税政策有关事项的公告》（财政部 税务总局公告2026年第27号），自2026年9月1日起执行。
公告很短——只有三条——但终结了自1994年起延续的一项政策。在此前，外籍个人从中国的外商投资企业取得股息红利，该项所得暂免征收个人所得税。本公告取消这一免税，改按通常的”利息、股息、红利所得”处理，并规定税款的征收方式。
本文只围绕三条原文、官方解读口径、官方媒体刊载的专家观点，以及位于国内法税率之上的税收协定层展开，不引入公告本身没有的通用合规口号。
第一条：税率与所得类别
第一条规定，外籍个人从外商投资企业取得的股息红利所得，按照”利息、股息、红利所得“缴纳个人所得税，适用20%税率。
变化在于所得类别，而非税率本身。20%是利息、股息、红利所得的标准税率。本公告取消的是此前使该项所得对个人免税的安排；取消后，该项所得回归到通常类别之中。
第二条：代扣代缴与申报
第二条分配征收义务。
外商投资企业向外籍个人支付股息红利时，应当代扣代缴税款，并于支付所得的次月15日内申报纳税。企业未扣缴税款的，取得股息红利的外籍个人应当在取得所得的次年6月30日前缴纳税款；税务机关通知限期缴纳的，外籍个人应当按照期限缴纳税款。
由此形成三层安排：以支付方代扣代缴为主的机制；以取得方自行缴纳为兜底；在税务机关发出通知时，按通知期限缴纳。时限规则具体明确，是财务团队最需要关注的落地要点。
第三条：废止1994年免税条款
第三条明确，本公告自2026年9月1日起执行，《财政部 国家税务总局关于个人所得税若干政策问题的通知》（财税字〔1994〕20号）第二条第（八）项同时废止。
被废止条款原文即：”下列所得，暂免征收个人所得税：外籍个人从外商投资企业取得的股息、红利所得。”其废止是本次的实质变化，公告其余部分则规定了随之而来的征收机制。
官方解读口径
官方解读指出，该项免税政策出台已超30年，在特定阶段对吸引外资发挥了积极作用。随着中国加快构建高水平社会主义市场经济体制，外资来华更关注法治环境、市场规模、产业配套等整体营商环境。继续依靠内外资不平衡的税收政策吸引外资，与新形势新要求已不相适应。
官方媒体刊载的专家观点
两家官方媒体刊载了专家观点。
北京大学中国财税研究中心主任刘怡指出，欧美主要国家实行居民个人全球所得征税制度，外籍个人从中国外商投资企业取得股息红利所得时，即便在中国享受了免税优惠，还需向其居民国补缴相应税款，实际税负并没有降低；取消免税政策后，外籍个人在中国缴纳的个税可以抵免其向居民国缴纳的税款，实际税负不会增加。
北京国家会计学院副院长李旭红认为，此次政策调整有利于维护税制公平统一、建立更加健康的外商投资环境，有利于堵塞税收漏洞、推进全国统一大市场建设。
税收协定层：20%税率未及之处
20%是中国国内法规定税率，不等同于所有外籍个人实际承担的税负。这一口径来自国家税务总局泰安市税务局”听税”栏目的公开解读，属解读口径而非公告原文。
中国对外签署的税收协定对股息预提税设置了上限。例如中美税收协定规定，来源国征收的股息税款不超过股息总额的10%。非居民外籍个人满足”受益所有人“条件并能出具缔约对方税收居民身份证明的，可以申请适用协定约定的优惠税率。
同一解读中还有两点实务提示值得注意。其一，本次废止范围仅限于股息红利免税条款；外籍个人住房补贴、子女教育费等原有免税安排继续保留执行，不受本次公告影响。其二，外商投资企业应及时更新扣缴流程，将外籍个人股息红利纳入代扣代缴范围，并在支付所得的次月15日内完成申报缴税；同时应建立外籍股东台账，区分居民个人与非居民个人、是否可适用税收协定待遇，留存税收居民身份证明等资料备查。
来源
- 德阳市财政局 — 财政部 税务总局公告2026年第27号《关于外籍个人股息红利个人所得税政策有关事项的公告》全文转载: https://wap.deyang.gov.cn/gk/fjbm/fczj/fdnr/jsjb/1970347.htm
- 国家税务总局（政策发布与”听税”栏目入口）: https://www.chinatax.gov.cn/
- 财政部（公告发布入口）: https://www.mof.gov.cn/
- 中国税务网 — 公告27号与配套解读条目: https://www.focustax.cn/home/index/article?id=4457
- 中国宏观经济信息网 — 公告自2026年9月1日起执行的相关报道: http://macrochina.cn/news_speed/hgjj/20260902125376.shtml
- 新浪财经 — 外籍个人股息红利个税政策调整报道（2026-09-23）: https://finance.sina.cn/2026-09-23/detail-inisuhkp5382400.d.html
相关阅读
- 见：增值税法下”非应税交易”的边界明确（non-taxable-transactions-vat）
- 见：跨国公司本外币跨境资金集中运营业务实操指南（mnc-cash-pool-relaxation）