Taxation in the People's Republic of China

By Jinyan Li | Go to book overview

1
Evolution of China's Tax System

China's tax system is probably the most ancient and, at the same time, the most recent in the world. Records of land taxes go back almost four thousand years ago, and yet the current tax structure did not come into existence until after 1980. Throughout its history, the tax system has reflected the developments in the economic system and changes in the political structure of the country. For purposes of briefly tracing the evolution of the tax system, I will divide China's economic and political history into three stages: the imperial period, the republican period and the socialist period (see Table 1.1).

During the imperial period, China was essentially a feudal society with political power concentrated in the hands of the emperors and the economy dominated by agriculture. Land taxes, excise taxes, and poll taxes were relied upon as the main revenue sources. A very limited number of goods and service became taxed when commerce and trade developed at later stages. The republican period marked the beginning of the modern history of China, during which industrial and financial industries appeared and capitalist market economies developed. The government expanded its functions and introduced income and consumption taxes. These taxes were abolished by the Communist government as soon as the socialist period began in 1949 with the creation of the People's Republic and the establishment of a socialist state-planned economy. Taxes were imposed temporarily to accommodate the transformation. From 1956 to the late 1970s, strict central-planning was practised, whereby the state controlled most of the means of production and allocated resources according to economic plans. No income taxes were necessary nor imposed on state enterprises or individuals. The major taxes charged were the turnover taxes to secure a regular transfer of funds from enterprises to the state. Taxation increased in importance when new economic policies were adopted by the Chinese government to attract foreign investment and to reform the economic structure toward one of market-oriented. As required by the reforms, a fundamentally new system of taxation has been established during the past decade.

-1-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited page

Bookmark this page
Taxation in the People's Republic of China
Table of contents

Table of contents

  • Title Page iii
  • Contents vii
  • Preface ix
  • 1 - Evolution of China's Tax System 1
  • Notes 26
  • 2 - Taxation of Goods and Services 31
  • Notes 45
  • 3 - Income Taxes on Individuals 51
  • Notes 63
  • 4 - Income Taxes on Domestic Enterprises 69
  • Notes 87
  • 5 - Income Taxes on Foreign Investment 99
  • Notes 116
  • 6 - Agriculture Tax 125
  • Notes 133
  • 7 - Local Taxes 137
  • Notes 146
  • 8 - Evaluation of the Current Tax System and Prospects for Future Reform 151
  • Notes 173
  • Selected Bibliography 177
  • Index 191
  • About the Author 195
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this book
  • Bookmarks
  • Highlights & Notes
  • Citations
/ 198

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.