China Enforces 20% Tax on Ultra-Rich's Overseas Gains Amid 'Common Prosperity' Push

Oct 15, 2024, 02:35 AM

China has begun enforcing a previously overlooked tax of up to 20% on overseas investment gains by the country's ultra-rich, according to people familiar with the matter. Wealthy individuals, including those with at least $10 million in offshore assets and shareholders of companies listed in Hong Kong and the United States, are being summoned by tax authorities to assess payments. The move reflects the government's growing urgency to expand its revenue sources amid slowing economic growth and tumbling land sales. The initiative is also part of President Xi Jinping's 'common prosperity' campaign aimed at reducing wealth disparities.