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Deputy proposes raising income tax threshold

Deputy proposes raising income tax threshold

Updated: 2012-03-09 13:25

(chinadaily.com.cn)

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The monthly personal income tax threshold should be increased further to allow Chinese people to have more money to spend, suggested a deputy of the National People's Congress (NPC), according to Huashang Daily.

The current income tax threshold of 3,500 yuan ($555) is still at odds with the Chinese economy, and it should be lifted to 5,000 yuan to raise the disposable income of Chinese people, said Zong Qinghou, CEO of Wahaha Group in East China's Hangzhou.

According to an ongoing survey by Sina Weibo, one of China's most influential micro-blogging service providers, 89.4 percent of 1,729 respondents support Zong's proposal.

The monthly personal income tax threshold was raised from 2,000 yuan to 3,500 yuan in September as part of the central government's efforts to cut taxes.