Not tax advice. Sourcing, FTC and CRS rules are fact-specific. This page is what “worldwide” means after the six-year exemption falls away — not a country-by-country matrix and not FX or WFOE profit.
“Worldwide” means foreign-source items enter the China IIT analysis once you are a domiciled resident or a non-domiciled resident whose six-year exemption has expired. Typical bag: offshore rent, dividends, interest, and many foreign-asset gains. Pay for work physically performed in China is often still China-source even if the payer is overseas — do not hide it behind the exemption. Foreign tax credits and treaties reduce double tax if you keep certificates. CRS is visibility, not optional disclosure. This is not the USD 50,000 quota and not WFOE profit remittance.
Domiciled, or non-domiciled in a post-exemption year.
Offshore payroll?
China workdays are often still China-source.
CRS?
Assume reportable accounts are visible.
Double tax?
FTC / DTA — keep certificates.
50k quota?
Different page.
CRS is visibility, not optional disclosure.
Scope and legal framework
IIT Law — scope of tax. Residents are in principle taxed on income from inside and outside China. The six-year exemption is a carve-out for non-domiciled residents’ foreign-source income paid and borne abroad — not a carve-out for China workdays.
Sourcing themes. Employment income generally follows where the work is done. Dividends and interest generally follow the payer. Immovable-property income follows the location of the property. Confirm the SAT sourcing rules for the line item — this is orientation.
Foreign tax credit / information exchange. China allows a foreign-tax credit within limits. CRS (and FATCA for US persons) means foreign financial accounts are often already in an information pipe. Non-filing is the failure mode.
Company profit remittance is a different legal file.
Practical workflow
Assume SAT can see CRS-reportable accounts.
Confirm you are actually in a worldwide year (six-year page).
List foreign accounts, rentals, grants, equity plans.
Label each line China-source vs foreign-source.
Collect foreign tax paid proofs before you need the credit.
Common mistakes
Use the personal-FX and WFOE-dividend pages for those pipes.
Calling offshore payroll “foreign-source” while sitting in Shanghai.
Legal boundary: Prefer primary statutes, judicial interpretations, and official guidance when making decisions. Where this guide links to city hubs or lawyer listings, verify credentials and engagement terms directly with counsel. Full disclaimer · Request a consultation.
FAQ
Common questions
Quick answers for foreign nationals and employers. Rules vary by city and change over time.
Is my US 401(k) or brokerage in scope?
Distributions, dividends and gains can be. Retirement wrappers are fact-specific. If you are in a worldwide year, put the account on the inventory and take it to counsel — do not assume “US tax already paid” ends the China question.
Can I just use the USD 50,000 quota to bring money in quietly?
That is a personal current-account theme, not an IIT filing strategy. See the quota page. It does not legalise non-reporting.
Consultation preparation
What to prepare before contacting counsel
Send a focused first package so counsel can check conflicts, understand scope, and identify urgent deadlines.
A concise timeline and the result you want to achieve.
Names of all parties and affiliates for a conflict check.
Key contracts, notices, correspondence, filings, or decisions.
Known deadlines, preferred language, location, and budget constraints.
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