Author(s)

Li Xiuling

Corresponding Author

Li Xiuling

ABSTRACT

On August 31, 2018, the fifth session of the standing committee of the 13th national people's congress passed the decision on amending the individual income tax law and put forward a number of reform measures. In this tax reform, on the basis of increasing the amount of exemption and adjusting the gap between tax rates, the four incomes of wages and salaries, remuneration for labor services, remuneration for contributions and royalties are included in the annual comprehensive income. This article builds a comprehensive and classified personal income tax system, and adds six additional special deductions to achieve a substantial breakthrough in personal tax reform. This article analyzes the practical significance and existing problems of this tax reform from the perspective of fairness, and proposes measures to solve the existing problems.

KEYWORDS

Equity, Personal Income Tax, Reform