According to the Announcement on Nationwide Implementation of Preferential Policies on Individual Income Tax for Individual Pension (Announcement of the Ministry of Finance and the State Taxation Administration No. 21 of 2024), In the payment process, the payment made by an individual to the fund account of individual pension shall be deducted from the comprehensive income or business income according to the limit of 12,000 yuan/year; in the investment process, the investment income counted to the fund account of individual pension shall not be subject to individual income tax temporarily; in the receiving process, the individual pension received by an individual shall not be included in the comprehensive income, and the individual income tax shall be calculated and paid separately according to the tax rate of 3%, and the tax paid is credited to the item of “income from salary and wages”.