贵州铝厂搬迁什么地方:Tax Plan is the wealth burden? - Focus discussion - People Forum

来源：百度文库 编辑：九乡新闻网 时间：2024/04/29 13:46:33

Tax Plan is the wealth burden?

1.jpg (162.18 KB)
2011-4-23 10:08


China is considering an income tax cut, but its impact may be smaller than expected.


The initiative, which was taken up by the country’s legislature on Wednesday and could become law this year, would raise the minimum income required to pay the tax to $450 a month from $315.


News reports have said the increase is a way to reduce the tax burden on low- to middle-income earners — a highly delicate issue in China, which has one of the largest gaps between rich and poor in the world. The nation also is suffering from a relatively high inflation rate, especially for food and fuel. The official news agency Xinhua called the proposal “good news for consumers amid rising inflation.”


But the move may actually do little to help the poor because the tax cut will affect people who earn average incomes, in urban areas about $450 a month. Minimum-wage earners, who earn about $184 a month in the cities, were earning so little already that they did not have to pay income taxes.


Only a small percentage of Chinese file income tax forms — about 26 million in all — and they tend to be high earners. “I don’t think that this move is going to do anything to improve the distribution of income in China,” said Nicholas R. Lardy of the Peterson Institute for International Economics in Washington. “If anything, it’ll do the opposite.”


The main effect of the tax cut would be to remove several million people — estimates vary widely — from the tax rolls, allowing the authorities to concentrate on taxing those who make more.


Analysts dismissed reports that the proposed tax changes were in response to recent signs of unrest — including this week among Shanghai container-truck drivers who were protesting high fuel prices. The changes were part of the 12th Five Year Plan, passed last year.



By IAN JOHNSON
Tax Plan is the wealth burden? - Focus discussion - People Forum Unfathomable Moscow Politics - Focus discussion - People Forum Understanding what the royal wedding means to the British - Focus discussion - People Forum Chinese People See Themselves Struggling? - Focus discussion - People Forum Miseries abound for besieged Libyans - Focus discussion - People Forum Kadhafi must go, but how? - Focus discussion - People Forum China: 2 More Aircraft Carriers? - Focus discussion - People Forum Could India resume nuclear test? - Focus discussion - People Forum Chinese suspects tried to smuggle military goods from US? - Focus discussion - People Forum Radioactive water: U.S. said 'go ahead' and Japan started to pour - Focus discussion - People Forum Huawei a victim of US - China distrust? - Focus discussion - People Forum Japan evacuees say No to Tepco's apology - Focus discussion - People Forum Chinese takeaway - Focus discussion - People ... Happy May Day ! - Focus discussion - People F... Libya: Is Nato too slow ? - Focus discussion ... Libya: The proxy war - Focus discussion - Peo... When China rates the world - Focus discussion... The tight US space fence - Focus discussion -... The economics of violence - Focus discussion ... Chinese mainland's tax burden exaggerated Law of the People's Republic of China on Individual Income Tax 'Cyber Sovereignty' ? Yes! - Focus discussion... Income tax reform is proposed Currency wars to fade away - Focus discussion...