China's New Individual Income Tax Policy for the Transfer of Restricted Shares of Listed Companies

China's Ministry of Finance, State Taxation Administration, and Securities Regulatory Commission have jointly issued Announcement No. 26 of 2026, establishing a new individual income tax policy for the transfer of restricted shares of listed companies. Listed companies include joint-stock limited companies listed and traded on the Shanghai Stock Exchange or the Shenzhen Stock Exchange. The policy also applies to individuals transferring original shares of companies listed on the National Equ…