Please be aware that this site is informational only, and many external factors, unique to your company might apply.
Each company must make their own decisions about how they meet their tax obligations.
Employers can reimburse employees for using personal vehicles for business travel, commuting, or company-owned cars.
China has no fixed statutory mileage rate, so reimbursement rates depend on company policy. However, employers should ensure these are reasonable and aligned with internal policies.
Reimbursement methods include:
- A fixed rate per kilometre
- Actual fuel and maintenance cost reimbursements
For more details on tax implications, visit the State Taxation Administration.
Last changed 2026-01-26