CHINA will extend the preferential tax policy for overseas talents working in the Guangdong-Hong Kong-Macao Greater Bay Area (GBA) to Dec. 31, 2027 to support the area’s development, the Ministry of Finance (MOF) has said.

High-caliber overseas talent and professionals in short supply who work in the GBA will get subsidies from the nine GBA cities in Guangdong Province, including Shenzhen, to offset the difference between the individual income tax (IIT) on the Chinese mainland and in Hong Kong, according to a circular dated Friday jointly released by the MOF and the State Taxation Administration.

The subsidies will be exempt from individual income tax, said the circular.

Under this preferential policy, eligible foreign talent can have the portion of IIT paid on their taxable income that is in excess of 15% subsidized by the respective municipal governments.                     (SD-Xinhua)