I have a new job offer, but am uncertain about the implications of the manner in which the company plans to report my pay. This is for a teaching job and I have an APRC, in case that makes a difference. It seems that in an attempt to minimize the amount of labor/health insurance they need to pay, the company is suggesting paying me in two portions. The first portion will be as usual income, and this will amount to slightly less than half of the total. The second portion (slightly more than half of the total) will be paid as 勞務報酬 (which they seem to list under tax code 9A), this portion will be broken down into 4 separate payments (I assume to stay under some kind of legal limit). Their accountant seems to have advised them this is legally possible. This is the first time I’ve heard of such a system - it’s new to me, so I have my doubts. Does anyone have any experience/knowledge about this? I’d rather be clear about it now than get an unpleasant surprise next time I try to report my taxes!
I’m not familiar with the tax codes, but whatever they are doing it doesn’t sound like it is for your benefit in the end.
It’s does include teacher here
“ Income from business execution: it is the contractor ( no employment relationship) . Simply put, it must be self-financing/funding risks, and there will be a clear division of income and expenses. Practicing income can be divided into 9A and 9B according to the type”
“ 9A income is based on the type of practice, there are different expense ratios, part of the income ratio can be recognized as expenses. ”
then, you may ask to labor department and taxation office.
The amount of inserted salary affects on the amount of benefits you could receive when you are eligible. Iiuc
It is possible to have a “hybrid contract” i.e. a contract that is partly employment (僱傭) and partly, for example, hire-of-work (承攬). However, designating a contract in this way should reflect the reality of the contractual relationship (for example if you do one kind of work most of the time but occasionally have a special project subject to different conditions which if separated from your normal work conditions would not indicate an employment relationship). And any reporting of different types of income should also match the reality of the situation.
If it’s really just an accounting trick and not based on the reality of your job, it doesn’t pass the smell test for me.
A post was merged into an existing topic: bad advice