China's personal income tax threshold is expected to rise to 5,000 yuan (US$775.5) per month from its current level of 3,500 yuan (ES$541).
The draft proposal on individual income tax, which has been submitted to the bi-monthly session of China's legislative body, the Standing Committee of the National People's Congress, is the seventh tax overhaul since the introduction of the personal income tax code in 1980. Up for debate are revisions to tax deductions for children's education costs, medical treatment charges, housing loan interest and rent.
According to ECNS, other possible reforms include improving the tax rate structure and introducing an anti-tax-avoidance clause.
China's total tax revenue in 2017 increased by 10.7% year-on-year to 14.4 trillion yuan (US$2.2 trillion) based on data from the Ministry of Finance. Tax revenue from individuals rose by 18.6% year-on-year to 1.2 trillion yuan (US$18,500 million) during the same period, official data showed.
Emma Woollacott is a freelance business journalist. Her work has appeared in a wide range of publications, including the Guardian, the Times, Forbes and the BBC.
China's personal income tax threshold is expected to rise to 5,000 yuan (US$775.5) per month from its current level of 3,500 yuan (ES$541).
The draft proposal on individual income tax, which has been submitted to the bi-monthly session of China's legislative body, the Standing Committee of the National People's Congress, is the seventh tax overhaul since the introduction of the personal income tax code in 1980. Up for debate are revisions to tax deductions for children's education costs, medical treatment charges, housing loan interest and rent.
According to ECNS, other possible reforms include improving the tax rate structure and introducing an anti-tax-avoidance clause.
China's total tax revenue in 2017 increased by 10.7% year-on-year to 14.4 trillion yuan (US$2.2 trillion) based on data from the Ministry of Finance. Tax revenue from individuals rose by 18.6% year-on-year to 1.2 trillion yuan (US$18,500 million) during the same period, official data showed.
Emma Woollacott is a freelance business journalist. Her work has appeared in a wide range of publications, including the Guardian, the Times, Forbes and the BBC.
