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The Amendments To The Tax Law Will Be Considered At The Starting Point Or Pferred To 3000 Yuan.

2011/4/20 9:27:00 48

Individual Tax To Improve The Threshold Of High Income Earners

On the 20 day, the twentieth session of the eleven NPC Standing Committee was held.

According to the schedule, the conference will deliberate on the bill of amendment to People's Republic of China's personal income tax (Draft) from 20 to 22.

According to a number of media reports, the deduction of the wage income tax is expected to be adjusted to 3000 yuan, and the tax structure will be adjusted from 9 progressive tax rate to 7 progressive tax rate.


The "starting point" may be adjusted to 3000 yuan.


The amount deducted in current income tax for personal income tax is 2000 yuan.

When taxpayers pay individual tax, they deduct the "three risks and one gold" from the monthly salary, then deduct the amount of 2000 yuan, and then multiply the corresponding tax rate to get the tax payable.


It is reported that the deduction of the individual income tax is expected to be adjusted to 3000 yuan.

According to the news obtained from several authoritative channels, the adjustment of the starting point to 3000 yuan should be more credible.


Progressive tax rate is adjusted from 9 to 7.


At present, China has implemented 9 progressive tax rates, ranging from 5% to 45%, with a total of 9.

The first level is to deduct the proportion of not more than 500 yuan after the starting point, corresponding to 5% of the tax rate; the second level is 500 yuan to 2000 yuan after deducting the starting point, corresponding to 10% tax rate; third level is deducted from the threshold after more than 2000 yuan to 5000 yuan, the corresponding tax rate is 15%.

By analogy, the final level is a deduction of 2000 yuan after the threshold, over 100 thousand yuan, its taxable rate of 45%.


And this revised tax law will reform 9 progressive tax rates.

Learned from authoritative department, this time

Amendment of tax law

It is possible to modify the current 9 level excess progressive tax rate to 7 level, possibly abolish the 15% and 40% two tax rates.

The detailed plan for grading adjustment remains to be announced by authoritative departments.


Second instance if passed, the fastest half a year to implement


According to the Central People's broadcasting station, the first instance of the amendment to the People's Republic of China personal income tax law (Draft) will pass the second instance at the end of June, and the second instance will be passed in the second half of the year.


How much is the threshold of individual tax?


Wang Jun, Vice Minister of finance, said recently that a survey shows that 70% of people feel that the threshold of 3000 yuan tax is relatively low and needs to be increased. 30% of them feel that the levy is too high to be mentioned.

If adjusted to 3000 yuan, the tax payment population will reduce 12% of the tax base population and reduce 48 million people. If the increase to 5000 yuan, only 3% of taxpayers will pay taxes, and the significance of personal tax will not be significant.


"If

Individual tax threshold

It will be 3000 yuan, and 5 years later, with the doubling of wages, the working-class members who are now being repaid will still be included in the tax payment.

Some people pointed out that, according to the recent five years of inflation rate, the current 3000 yuan has been less than 5 years ago 1500 yuan purchasing power, and five years later, with the rise in prices and other factors, even if the wage doubled, most of the working class is still the main body of the tax payment, the tax burden has not been lightened.

Adjustment of personal income gap

High income earners

We should levy more taxes, levy less taxes on middle income earners, and do not impose taxes on low-income people, so as to make the individual tax a good regulator of income distribution.


 

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