Deputy motions for bringing back tax legislative power to NPC



An NPC deputy won plaudits during the ongoing NPC and CPPCC sessions for pointing a finger at the hot-button issue of tax legislation in China. Zhao Dongling, NPC deputy and vice art director of Shangdong TV and Film Production Center, pointed out the power of tax legislation should belong to the NPC, China’s top legislative body, although for the past three decades, the State Council has passed a string of interim regulations for taxation.

“As far as I know, only three of the current 18 tax categories have passed the legislative procedures of NPC and all the others are only interim rules promulgated by the State Council,” Zhao said.

In the panel discussion of Shandong delegation in the morning of March 6, Zhao first mentioned the side-effects of China’s latest property market curbs which regulates that home owners who sell their homes will have to pay an income tax equivalent to 20 percent of the profits they make on the transaction.

The new category of tax to be collected soon has stirred heated discussion these days. “The second-hand housing market has become really hot,” the delegate said ironically. It is believed that the tax was initially designed to further crack down on speculation and cool the market, but has instead inflated the market and potential buyers are forced to pay more.

The example of Zhao apparently attracted all the attention of her panel, and then, in the next breath, she pointed to the issue of taxation legislation behind this individual case.

According to Zhao, she has consulted many legal experts. “The problem could be traced back to the year 1985, when the NPC gave the State Council an authorization allowing it to pass interim regulations for taxation if the economic situation allows,” Zhao said, noting three decades have passed and China’s national tax revenue has exceeded thousands of billions of yuan per year.

“In this situation, I strongly advocate the NPC should take back the legislative power, as taxation issues concern every family and every citizen in the country,” Zhao said. According to the delegate, the latest capital gains tax imposed on second-hand house sales is just an individual case, and the root of the problem lies in allocation of legislative power.

“If I could not get 30 approving signatures from my fellow delegates, I would submit the motion by myself. And if the motion failed to be passed this year, I would advocate it the next year, and the year after next year. If I could make it accepted in five year, I think I can say my duties as a deputy has been fulfilled.

“Like what Fu Ying 傅莹 (the spokeswoman of the NPC) has said, we must ‘put powers into the cage of regulation’. That should be the way we (CPC delegates) work,” the female delegate thus ended her speech which was greeted with big applause.
@手机用户[Shenzhen, Guangdong]
It’s a shocking problem. As the nation’s top legislative body, the National People’s Congress is not even entitled to decide such important issues. In this case, how could they help supervise the management of the country? If the problem could not be solved, wrongdoings like corruption and power abuse would become rampant.

@[Chongqing]: A truly devoted delegate.

@横街16号俱乐部-老布[Chongqing]: The NPC must take back the legislation powers, or we could not call ourselves a law-based society.




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