When affiliates apply for commissions, they need to deduct the corresponding amount of tax in accordance with the requirements of the personal income tax and labor service remuneration tax rate stipulated by the state.
Labor service remuneration income (hereinafter referred to as: Commission) is calculated based on the total amount of each taxpayer's monthly application to calculate the labor service remuneration income tax payable in the current month.
Ways for members to apply for commissions:
1. Corporate members. The member company will issue an invoice (the style and content of the invoice meet the relevant requirements) and provide the corresponding account information. LinkHaitao will remit the money to the account of the company corresponding to the invoice.
2. Individual members. Our company calculates and deducts the tax according to the labor service income tax rate stipulated by the state, and pays the money to the member's bank account.
The tax deduction standard for individual members is: (based on their verified ID card, if applying for commission every month)
1) $800 (inclusive) or less is the tax-free amount
2) The tax rate for those above $800 and below $4,000 (inclusive) is 20%. The calculation formula is: Tax = (Application Amount - $800) * 20%
3) $4,000 to $20,000 (inclusive) - The tax exemption is 20% and the tax rate is 20%. The calculation formula is: Tax = (Application amount - Application amount * 20%) * 20%
4) $20,000 to $50,000 (inclusive) The tax exemption is 20% and the tax rate is 30%. The calculation formula is: Tax = (Application amount - Application amount * 20%) * 30% - 2000
5) Above $50,000 - The tax exemption is 20% and the tax rate is 40%. The calculation formula is: Tax = (Application amount - Application amount * 20%) * 40% - $7000
