China's wealthy asset boom benefits tax depression

The newly-published "Hurun 2011 report" sparked public onlookers and lamented that the tax community pointed to a noteworthy phenomenon: The Yangcheng Evening News reporter Chilimei Personal income Tax Law Amendment Draft will be held this week in the ninth National People's Congress of the NPC Standing Committee 20 meeting to conduct the first instance. When people are talking about how much the individual tax burden will ease, the 2011 Hurun Report was freshly released, sparking public onlookers and lamenting the rapid growth in the number and assets of the country's wealthy. But some in the tax community have pointed to a noteworthy phenomenon: the Hurun Wealth Report 2011 revealed that tens of millions and millions of billionaires have risen fastest in China's wealthy, listed and unlisted companies, as well as in art and private-equity investments.　　The problem is that China's rich assets in large quantities of these areas, is precisely the "tax depression."　　Tax people said that this situation does not change, will further aggravate China's income distribution inequality and the gap between the rich and the poor, now the civil is not also "hard to do industry than to fry House" argument? Real estate investment reform pilot adjustment of income distribution small problem: the lack of property tax design in January this year, Shanghai and Chongqing announced the reform of personal housing property tax pilot, for this reform background, at present, people are more understood as the government to strengthen the real estate market regulation of the important means, but in fact,　　The deeper significance and function of this reform lies in the "trapping" of the current property tax system in China, that is, to make up for the serious lack of the tax and tax design of individual real estate in our country, in order to embody the principle of taxation regulating social fairness and the function of adjusting resource allocation. However, from the current Shanghai, Chongqing real estate tax reform pilot situation, is held aloft, lightly put down, deterrence of the role of speculation more than the actual adjustment of the role of income distribution.　　Thus, in our country, the "trapping" of the property tax system remains to be a while. The collection of investment transactions continued to create sky-high prices did not appear big taxpayer problem: Low rate of market transaction tax in recent years, China's art, collection market is increasingly active, but there are insiders pointed out that in China's art, collectibles transactions constantly create sky-high prices behind, but there has been a "tax depression": whether the seller of individuals,　　or auction houses and other brokerage institutions, are far from becoming a big taxpayer.　　China's famous collector, MA ' am, admits that it is an art-trading powerhouse, a small tax-paying country with a low tax rate on art transactions, so that China is likely to become an international art dealer's tax evasion. China's personal art investment tax really tube up, is in 2007, when the general administration of Taxation issued the "on the strengthening and regulation of personal income tax collection to collect income related issues notice," the notice stipulates that individuals through the auction market auction of various property (including calligraphy, porcelain, antiques and other items) of income, Income tax shall be paid in accordance with the 20% tax rate by deducting the balance of the original value of the property and the reasonable expenses after the amount of its transfer. At the same time, the notice also stipulates that taxpayers can not correctly calculate the property of the originalValue, pay a tax by 3% of the transferred income. In this respect, some wage earners said: "Wage earners earn seven thousand or eight thousand yuan a month to pay 20% of the tax," golden collar "income exceeding 100,000 yuan tax rate to pay 40%, but the rich in the art, collectibles market is million, tens of millions of dollars, make money also pay 20% of the tax, the cost of making a lot of words can also choose to transfer income 3%　　To pay taxes, two types of people compare, who's more tax burden? Equity investment personal Assets evaluation of value-added investment has become a "rich feast" problem: the frequency of tax loopholes in the listed companies early release of restricted shares, for individual restricted shareholders to reduce taxes, the general administration of taxation does not have a unified statement, Until the media constantly exposed personal holdings of listed companies to create a number of millions millionaires, "15 rich a-share of 20 billion tax-related 8 billion did not see tax records" and other news, December 31, 2009, finance, tax, Securities and Futures Commission of the three ministries jointly issued the　　Notice on the relevant issues concerning personal income tax levied on the income from the sale of restricted shares of listed companies, which clearly from January 1, 2010 onwards, the income obtained from the personal transfer of restricted shares, according to the "Proceeds of property transfer", apply a tax of 20% proportional tax rate. But then, the media exposure to the stock of restricted shares through the conversion of restricted stocks to ETF fund share, and other methods to avoid tax.　　In response to such tax loopholes, the three ministries of finance, tax and securities issued a supplementary notice on November 10, 2010, further clarifying that 9 types of restricted stock transfers need to be taxed.　　However, in the tax department busy plugging in the same time, since last year, in some provinces and cities, but there have been individual restricted shareholders to reduce the "tax haven", there are local governments for individual restricted stock holders issued tax rebate preferential policies. In addition, in the field of equity investment, on the issue of personal income tax levied on personal assets assessment value-added investment, if a natural person participates in the directional issuance of additional interest after evaluating the value added of its shareholding, the problem is not to pay a tax, because the policy is repeated and unclear, so that some tax people say that the value added investment of personal assets has become Regal Feast. "