China may lift income tax threshold
China’s taxable individual income level may moderately rise this month as a proposal to raise the individual income tax jointly drafted by the Ministry of Finance and the State Administration of Taxation has been submitted to the State Council, sources reported, citing the local magazine China Times.
The proposal, if approved, marks the second increase in the taxable income level on the mainland this year. However, the new level would remain below RMB 3,000, compared with the current RMB 2,000 level.
The Chinese government has raised the income tax threshold from RMB 1,600 to RMB 2,000 since March this year.
Source: China Knowledge – December 1, 2008
