Core Viewpoint - The annual confirmation period for individual income tax special additional deductions has begun, impacting the disposable income of over 100 million people in the coming year [1] Group 1: Special Additional Deductions - The special additional deductions for individual income tax include child education, continuing education, major medical expenses, housing loan interest or rent, elderly care, and childcare for children under three years old [5] - Taxpayers must confirm their special additional deduction information for the next year in December, with amounts ranging from 400 to 3000 yuan per month for each deduction [5] - If the deduction information remains unchanged from the previous year, taxpayers can use the "one-click carry-over" feature in the tax app to confirm their deductions for 2026 [5] Group 2: Compliance and Changes - Taxpayers must report any changes in their eligibility for special additional deductions, such as children graduating or reaching certain ages, to avoid penalties [6] - Failure to update deduction eligibility may result in back taxes, late fees, and potential fines if discrepancies are discovered [6] Group 3: Tax Revenue and Reforms - In the first ten months of 2025, individual income tax revenue reached 1.3363 trillion yuan, a year-on-year increase of 11.5%, significantly higher than the national tax revenue growth rate of 1.7% [6] - The 20th National Congress proposed reforms to the individual income tax system, aiming to create a fairer tax structure by expanding the scope of taxable income to include business and capital income [6]

Core Viewpoint - The article discusses the annual confirmation of personal income tax special additional deductions, which affects the disposable income of over a hundred million people in the upcoming year [3]. Group 1: Special Additional Deductions - The personal income tax APP has launched a feature for confirming special additional deductions for the year 2026, allowing taxpayers to enjoy tax benefits starting from January [6]. - Special additional deductions include child education, continuing education, major medical expenses, housing loan interest or rent, elderly care, and childcare for children under three years old [8]. - Taxpayers must confirm their deductions in December, with amounts ranging from 400 to 3000 yuan per month for each category, to benefit from reduced tax payments in the following year [8]. Group 2: Changes in Deductions - Taxpayers can carry over their 2025 deduction information to 2026 using a one-click feature, but must update any changes to their circumstances to avoid losing deductions [8]. - If a taxpayer no longer meets the criteria for certain deductions, they must report this change to avoid penalties, including back taxes and fines [9]. Group 3: Tax Revenue Insights - In the first ten months of 2025, personal income tax revenue reached 1,336.3 billion yuan, reflecting an 11.5% year-on-year increase, significantly higher than the national tax revenue growth rate of 1.7% [9]. Group 4: Future Tax Reforms - The 20th National Congress proposed reforms to the personal income tax system, aiming to create a fairer tax structure by potentially including business income and capital gains in the taxable income scope [11].

2026年度专项附加扣除确认本月开启。 又到了一年一度的个人所得税专项附加扣除确认时间，而这关系到上亿人明年到手收入。 近日，国家税务总局开发的个人所得税APP首页上，已经上线2026年度专项附加扣除确认页面，老百姓在确认好明年自己适用的相关专项附加扣除信息后， 就可以在明年1月起发工资后，尽早享受相关扣除，从而少缴个税，增加到手收入。 比如，明年有满足相关专项附加扣除条件新增或变更，常见的包括父母明年满60岁，则可以填报享受赡养老人专项附加扣除，若是独生子女一个月可享受 3000元个税定额扣除。另外，子女明年满3岁，此前享受的3岁以下婴幼儿照护专项附加扣除就需要变更为子女教育专项附加扣除。 另外，如果明年不再满足一些专项附加扣除条件，也应诚信申报，不应再享受相应的专项附加扣除。 比如，子女明年大学毕业后就业，不再接受全日制学历教育，就应该及时在个税APP上录入子女教育终止时间，在这一时间之后不再享受子女教育专项附加 扣除。 个税专项附加扣除分别是子女教育、继续教育、大病医疗、住房贷款利息或住房租金、赡养老人、3岁以下婴幼儿照护专项附加扣除。 由于个税按一个自然年度纳税，因此每年的12月纳税人都要确认下一年度 ...

Core Viewpoint - The article emphasizes the increasing importance of individual income tax (IIT) reform in China, particularly in the context of promoting common prosperity and stimulating economic growth through enhanced consumer spending [3][4][5]. Summary by Sections Tax System and Reform Proposals - The Chinese government has been urged to reform the individual income tax system, including raising the tax threshold and optimizing tax rates, to better reflect the economic realities and address income disparities [2][5]. - The current tax system has a maximum marginal tax rate of 45% for labor income, while capital gains are generally taxed at a lower rate of 20%, indicating a disparity in tax treatment [4][9]. Economic and Social Implications - The reform of individual income tax is seen as crucial for reducing the tax burden on middle and low-income groups, thereby increasing disposable income and stimulating consumption [3][5]. - The article highlights that the adjustment of the tax threshold has not kept pace with rising living costs, particularly in major cities, leading to ongoing calls for reform [5][12]. Tax Administration Challenges - The complexity of high-net-worth individuals' asset configurations poses challenges for tax administration, as their income sources are diverse and often difficult to monitor [4][9]. - The current tax system is criticized for being overly reliant on labor income, which may not adequately address the growing diversity of income sources in the modern economy [13][19]. Future Directions for Tax Reform - Future reforms should focus on expanding the scope of taxable income, optimizing tax rate structures, and implementing a dynamic adjustment mechanism linked to consumer price indices and median wages [17][18]. - The article suggests exploring family-based tax reporting to better reflect the economic burdens of households, which could enhance horizontal equity in the tax system [17][18]. Conclusion - The ultimate goal of individual income tax reform is to create a more progressive, precise, and equitable tax system that effectively addresses income distribution and promotes social justice [18][19].

Core Viewpoint - The ongoing discussions around personal income tax (PIT) reform in China highlight the need for adjustments to the tax system to better align with economic realities and social equity goals, particularly in the context of promoting common prosperity and stimulating domestic consumption [2][3][4]. Group 1: Importance of PIT Reform - PIT reform is increasingly seen as essential for addressing income distribution and enhancing economic growth, especially in light of rising living costs and inflation [2][3]. - The current tax burden on the working class is perceived as high, necessitating a review of the tax threshold to stimulate consumption and increase disposable income for middle and low-income groups [2][3][4]. Group 2: Structural Issues in Current Tax System - The existing tax system shows a significant imbalance between labor income and capital income taxation, with labor income facing a maximum marginal tax rate of 45% compared to a flat 20% for capital gains [10][14]. - The complexity of high-net-worth individuals' asset configurations poses challenges for effective tax administration, as their income sources are diverse and often cross-border [10][14]. Group 3: Social Equity and Taxation - The calls for PIT reform reflect deeper societal demands for economic fairness and modernization of the tax system, emphasizing the need for a more equitable distribution of tax burdens [3][4][9]. - The current fixed deduction standards do not adequately account for regional differences and inflation effects, leading to persistent calls for adjustments [3][4]. Group 4: Future Directions for PIT Reform - Future reforms should focus on expanding the scope of comprehensive income, optimizing tax rate structures, and implementing dynamic adjustments linked to consumer price indices and median wages [20][21]. - The introduction of a family-based tax filing system could enhance horizontal equity by better reflecting the actual financial burdens faced by households [20][21]. Group 5: Challenges and Opportunities - The current PIT system's reliance on a "salary tax" model does not adequately address the diverse income sources and employment forms in the modern economy, necessitating a shift towards a more inclusive tax framework [14][15]. - The establishment of a dynamic adjustment mechanism for tax thresholds linked to economic indicators could enhance fairness and efficiency in the tax system [17][18].

Core Points - The Chinese government aims to improve the personal income tax system by gradually establishing a combined comprehensive and classified tax system, focusing on regulating income distribution and protecting legitimate income [1][2][3] - The current personal income tax threshold has not been adjusted since 2018, and there are ongoing discussions about increasing the threshold to alleviate the tax burden on middle-income groups [2][3][4] - The personal income tax system is seen as a tool for promoting social equity by adjusting the tax burden based on income levels, with high-income earners contributing a significant portion of tax revenue [3][5] Tax System Overview - The personal income tax system includes various income categories, with recent updates expanding the classification from four to nine types, enhancing the management of income sources [2][3] - The majority of personal income tax revenue comes from wage and salary income, which constitutes 64% of total personal income tax revenue [2] Recent Developments - Proposals have been made to increase the basic deduction standard to 10,000 yuan per month, which would significantly impact tax liabilities for individuals in high-cost areas [2][3] - The government is focusing on improving the tax deduction system, which now includes various personal expenditures such as education, medical expenses, and housing costs [2][3] Challenges and Considerations - There are structural challenges in the tax system, particularly in regulating non-wage income and ensuring equitable tax treatment for flexible employment and new economic sectors [8][9] - The disparity in tax rates between personal income tax (up to 45%) and corporate income tax (25%) has led to tax avoidance strategies, prompting discussions on potential reforms [14][15] Future Directions - Future reforms may include adjusting the personal income tax threshold based on economic indicators like CPI and median wages to ensure it reflects living costs [10][11] - The introduction of a progressive deduction system based on income levels is suggested to enhance fairness in the tax system [12][13]

Core Viewpoint - The article emphasizes the importance of personal income tax and its threshold as a key element in determining taxpayers' pre-tax deductions, which directly impacts their economic burden and is a focal point for public concern [2][4][6]. Policy Context - The Chinese government aims to improve the personal income tax system by gradually establishing a combined comprehensive and classified tax system, as highlighted in various party congress reports [2][3]. - The 2025 National People's Congress is expected to see proposals for increasing the personal income tax threshold or enhancing deductions, particularly in high-cost areas like Beijing, Shanghai, Guangzhou, and Shenzhen [3][4]. Current Tax Structure - The current personal income tax threshold has remained unchanged since 2018, set at 5,000 yuan per month, with 64% of personal income tax revenue derived from wage and salary income, effectively making it a "salary tax" [3][4]. - The classification of income for tax purposes has been expanded from four categories to nine, including new categories such as business income and capital gains, to enhance revenue management [3][4]. Tax Deductions and Fairness - The special additional deductions for personal income tax have been continuously improved, covering various living expenses such as education, medical care, and housing [4][5]. - The tax system aims to reduce income disparity through differentiated tax burdens, ensuring that high-income earners contribute a larger share of taxes while lower-income individuals may not pay taxes at all [4][5][9]. Challenges in Tax Administration - There are significant challenges in regulating non-wage income compared to wage income, leading to potential inequities in tax burdens [10][11]. - The current system struggles to adequately cover flexible employment and new economic sectors, resulting in mismatches in tax policy application [10][11]. Future Directions - Future reforms may focus on increasing the threshold for personal income tax and optimizing the tax structure to ensure sustainability while promoting fairness [12][14]. - The introduction of a progressive deduction system based on income levels could help address disparities and enhance the equity of the tax system [15][14].

Group 1 - The total retail sales of consumer goods from January to May increased by 5.0% year-on-year, with a 6.4% increase in May alone, reflecting the positive effects of policies aimed at boosting consumption and implementing trade-in programs for consumer goods [1] - The Consumer Price Index (CPI) in May showed a year-on-year decrease of 0.1% and a month-on-month decrease of 0.2%, indicating a need to enhance the internal momentum of consumption [1] - To stimulate consumer demand in the short term, it is suggested to focus on transfer payments and expand the trade-in policy, particularly in central and western regions, encouraging participation from urban-rural integration areas [1] Group 2 - Long-term personal income tax reform could help adjust disposable income, providing stable cash flow for households, especially if tax rates for low- and middle-income groups are lowered [2] - A higher pension replacement rate can enhance current consumption tendencies, and transferring some savings to personal pension accounts could increase the overall pension replacement rate without affecting current cash flow [2] - Recommendations include increasing tax incentives for personal pension accounts and improving the performance and returns of pension products, as well as enhancing related services like healthcare based on pension contributions [2]

Core Viewpoint - Dong Mingzhu, the chairwoman of Gree Electric Appliances, emphasizes the importance of digital transformation and AI in the manufacturing sector, advocating for reforms in personal income tax and the regulation of the second-hand appliance market [1][3][6]. Group 1: Personal Income Tax Reform - Dong Mingzhu has consistently advocated for personal income tax reforms since becoming a national representative, suggesting an increase in the basic deduction to 10,000 yuan per month and optimizing the tax rate structure [5][6]. - The reforms aim to enhance the disposable income of the working class, promote social equity, and stimulate domestic consumption, thereby driving economic growth [6][5]. Group 2: Governance of Online Violence and Rumors - Dong proposes a comprehensive governance system for online rumors and violence, including revising the Cybersecurity Law and establishing regulations for internet platforms to manage such content [6]. - She suggests the introduction of specific legal definitions and penalties for online rumors and violence in the new Public Security Administration Punishment Law [6]. Group 3: Regulation of the Second-Hand Appliance Market - Dong advocates for the establishment of legal frameworks to regulate the second-hand appliance market, emphasizing the need for source control, operational behavior regulation, and enhanced enforcement [6]. Group 4: Dong Mingzhu's Leadership and Impact - Dong Mingzhu has transformed Gree Electric Appliances from a struggling company in the 1990s to a leading global air conditioning manufacturer, with revenue surpassing 200 billion yuan in 2023 [10][12]. - Her leadership style is characterized by a rigorous approach to management and a commitment to employee welfare, which has fostered a strong brand identity closely associated with her persona [8][12].

Core Viewpoint - The article discusses the proposals made by Dong Mingzhu, the chairman of Gree Electric Appliances, during the upcoming 2025 Two Sessions, focusing on optimizing personal income tax, strengthening governance against online rumors and violence, and regulating the second-hand appliance market [1][2][4][5][7]. Group 1: Personal Income Tax Optimization - Dong Mingzhu suggests increasing the basic deduction for personal income tax to 10,000 yuan per month and optimizing the tax rate structure to adapt to the rapidly changing socio-economic environment [4]. - The aim is to enhance consumer demand supported by income, thereby improving the sense of gain, happiness, and security among the populace [4]. Group 2: Governance of Online Rumors and Violence - Dong emphasizes the need for a comprehensive governance system against online rumors and violence, highlighting the impact of a healthy online environment on social stability and security [6]. - She proposes five recommendations, including revising the Cybersecurity Law, establishing regulations for internet platforms to manage rumors and violence, and creating specific judicial interpretations for related criminal behaviors [6]. Group 3: Regulation of Second-Hand Appliance Market - Dong points out the safety risks associated with second-hand appliances, noting that over 31.4% of electrical fires in the first eight months of 2024 were caused by old or expired second-hand appliances [8]. - She recommends establishing a comprehensive regulatory system to ensure consumer safety, eliminate hazards, and promote the development of a circular economy, with four specific suggestions for improvement [8].