The adjustment of the tax threshold is expected to fall in the second half of the year.

Personal income tax reform has always been one of the hot topics of the two sessions in the country. Since the tax threshold was raised to 3,500 yuan in 2011, after seven years, the tax reform finally ushered in a substantial move. Experts said that according to the statutory principle of taxation, the adjustment of individual tax thresholds needs to enter the legislative process and be appropriately adjusted according to the solicitation opinions. It is expected to land in the second half of the year. This year's government work report proposes to raise the threshold for personal income tax, increase the deduction of special expenses for children's education and major medical care, and rationally reduce the burden, and encourage the people to increase their income and become rich through labor. On March 7, Shi Yaobin, deputy minister of the Ministry of Finance, said that China’s individual tax is now a model of classified collection. This reform will be transformed into a tax system combining “integration and classification”, and will speed up the initiation of a tax reform plan and accelerate Tax repair law. On March 13, Wang Jun, director of the State Administration of Taxation, said that the next step would be to actively cooperate with the revision of the Tax Law and the Tax Administration Law. So, when will the tax threshold be adjusted? Zhang Yiqun, director of the Jilin Provincial Institute of Fiscal Science, told the "Securities Daily" reporter that according to the requirements of the government work report, if it is only to adjust the tax threshold, the time will be very fast. "It is estimated that the adjustment of the tax threshold will be faster." Liang Ji, a researcher at the China Academy of Finance, told the Securities Daily reporter. For example, Zhu Zhenxin, chief researcher and executive president of the Financial Research Institute, told the Securities Daily that the adjustment of the tax threshold may fall after September. Shi Wenpo, an associate researcher at the China Academy of Fiscal Science, told the Securities Daily that the adjustment of the threshold should be possible during the year. However, this year is not only related to the exemption adjustment, but also involves the addition of special deductions, which may take longer than last time. Wang Changyong, executive director of the Changping Economic Research Institute, told the "Securities Daily" reporter that according to the requirements of the government work report, if the tax repair law is completed this year, it is expected to be the first trial in August and the second trial in October or December. Taking the 2011 adjustment as an example, on February 27 of that year, the senior officials revealed that they would discuss and adjust the tax collection plan. On March 1, the State Council executive meeting passed the draft amendment to the Individual Income Tax Law, which was submitted to the preliminary examination on April 20, and passed the second instance on June 30, and officially implemented on September 1. In order to increase the special cost deduction, Liang Ji said that regardless of the initial threshold, or the subsequent two thresholds, a unified non-differential deduction policy is adopted. Compared with the previous two tax thresholds, this time, by increasing the special fee deduction method, the starting point is raised, which can better reflect the fairness principle of individual taxes, and steadily promote the combination of “integration and classification” of individual taxes. "reform. Jiang Zhen, an associate researcher at the Institute of Finance and Economics of the Chinese Academy of Social Sciences, told the Securities Daily that the personal income tax system needs to fully consider the type of cost deduction and fully consider the common cost type of natural persons. It is recommended to try to introduce a more flexible cost-cost deduction. Shi Wenpo suggested that it is necessary to improve the comprehensive pre-tax deduction items, including the basic exemption amount and special deduction items, set the deduction standards reasonably, establish a dynamic adjustment mechanism linked to the consumer price index, and tax the different burden families. And reasonable set of progressive tax rate grades, optimize the tax rate structure, moderately reduce the low-end tax rate, so that the personal income tax burden is more on the high-income groups, fair tax burden of different income classes.

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