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China's high income earners must now file individual income tax returns, including foreigners, according to a new regulation issued by the national tax authority on Wednesday.

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Whether their companies have filed their incomes or not, they should file individually again within three months after a fiscal year, said an article on the State Administration of Taxation's Website.

The annual income threshold for domestic high income individuals is 120,000 yuan (US$15,190). Anyone making more than that must abide by the new rule and file their income for the year. Tax-free incomes are not included in the filing, but overseas incomes must be reported. Chinese tax laws stipulate that foreigners except diplomats are also taxpayers in China.

Many high income individuals in the country obtain their income through different channels, and some of these channels are not made public, so tax authorities often have no record of it whatsoever, the administration said.

The new regulation clarifies high income individuals's obligations and legal responsibilities for the first time to plug the loopholes.

It also provides several ways, including online and postal services, so taxpayers can easily file their tax return.

The new regulation will enhance the tax imposition upon high income individuals and help relieve the gap between the rich and poor, according to the administration.

It may also promote the development of scientific and classified management for different taxpayers and shorten the course of China's individual tax reform from the current taxation pattern to a more advanced compound pattern.