Core Viewpoint - The draft amendment to the Individual Income Tax Law has sparked significant public interest and discussion, particularly regarding the tax threshold and special deductions, with over 130,000 opinions collected during the consultation period [1]. Group 1: Tax Threshold - The proposed basic deduction standard for comprehensive income is set at 5,000 yuan per month (60,000 yuan per year), which is considered too low and not conducive to protecting the interests of low- and middle-income groups [2][3]. - A dynamic adjustment mechanism for the tax threshold is suggested, taking into account economic indicators such as CPI, housing prices, per capita income, GDP, and fiscal revenue [3]. Group 2: Special Deductions - Current special deductions proposed in the draft include expenses for children's education, continuing education, major medical expenses, housing loan interest, and rental housing, but the coverage is deemed narrow [4]. - The need for broader coverage of special deductions to include vulnerable groups such as spouses, the elderly, and the disabled is emphasized, reflecting practices in other countries [4]. Group 3: Tax Administration System - The existing tax administration system is seen as inadequate for the evolving needs of comprehensive taxation and special deductions, necessitating a more efficient system similar to that of the United States [5]. - Recommendations include establishing a robust tax administration system with effective information sharing and strict penalties to prevent tax evasion [5]. Group 4: Tax Rates on Income - The current highest marginal tax rate of 45% is comparable to high-tax countries but is criticized for disproportionately affecting high-income earners from labor income while excluding wealth from capital gains [6][7]. - There is a call to adjust the tax rates for high-income earners and to broaden the tax base to include capital income, thereby addressing income inequality [8].