On 30 June 2021,China successfully completed its second annual reconciliation of individual income tax(IIT).The successful implementation of the annual IIT reconciliations in the past two years,with hundreds of millio...On 30 June 2021,China successfully completed its second annual reconciliation of individual income tax(IIT).The successful implementation of the annual IIT reconciliations in the past two years,with hundreds of millions of natural person taxpayers involved marks a significant milestone in China’s ongoing reform of the IIT system,especially regarding the tax collection and administration system for natural persons.Assessing the achievements of China’s annual IIT reconciliation requires a comprehensive analysis from various aspects,including concepts for IIT governance,system design and implementation effects.This report with the national reconciliation data as the sample uses descriptive statistics to analyze the effectiveness of China’s annual IIT reconciliation practice and the issues.The repo rt also compares the IIT filing data of six jurisdictions,including the United States and Canada,with those of China,to evaluate the effectiveness of China’s annual IIT reconciliation from an international perspective.Finally,the report offers several suggestions for further improving the IIT annual reconciliation system in China.展开更多
文摘On 30 June 2021,China successfully completed its second annual reconciliation of individual income tax(IIT).The successful implementation of the annual IIT reconciliations in the past two years,with hundreds of millions of natural person taxpayers involved marks a significant milestone in China’s ongoing reform of the IIT system,especially regarding the tax collection and administration system for natural persons.Assessing the achievements of China’s annual IIT reconciliation requires a comprehensive analysis from various aspects,including concepts for IIT governance,system design and implementation effects.This report with the national reconciliation data as the sample uses descriptive statistics to analyze the effectiveness of China’s annual IIT reconciliation practice and the issues.The repo rt also compares the IIT filing data of six jurisdictions,including the United States and Canada,with those of China,to evaluate the effectiveness of China’s annual IIT reconciliation from an international perspective.Finally,the report offers several suggestions for further improving the IIT annual reconciliation system in China.
