One month after the National People’s Congress (NPC) Standing Committee released the full draft of the law on vehicle and vessel taxation and invited opinions from the public it received over 97,000 comments.
The NPC Standing Committee said members of the public generally acknowledged the draft’s significance in helping determine fair levels of tax burdens for taxpayers and in standardizing China’s taxation system.
Some, however, questioned the rationality of vehicles being taxed on the basis of engine capacity while others wanted the nature of the taxation, which in the bill was defined as a property tax, clarified further.
Some suggested that the depreciation in the value of vehicles and vessels should be considered a factor in taxation, while others said taxes could be levied based upon criteria that combined engine capacity and the market prices of vehicles.
English.News.cn said the draft law reduces taxes on energy-saving and clean energy-powered vehicles and increases taxes on large cars.