I am not sure of the implications of the new Social Insurance Law. While the details of its implementation are still being worked out I have a feeling that it will impact on Foreign Teachers in different ways.
Up to now I have usually not paid any tax in China. Usually that has been because my salary has been below the threshold. Sometimes it has been because the school just paid the contracted amount and solved the tax obligation without troubling me with any details.
It seems important to me that we keep up to date with each other on the implementation of this tax. Some questions that I have:
Is it going to be deducted from the salary agreed in existing contracts?
Will employers find a way to circumvent the tax requirements in the interim?
Is it grounds for renegotiating a new contract that provides compensation for the tax?
Is it a factor we should build into any new contracts?
While the article in this link is from a month ago, and it has a focus on expats from the USA, it has some useful information for citizens of any country.http://www.chinadaily.com.cn/usa/us/2011-06/21/content_12744298.htm