China to gradually implement consumption tax reform, minister says


China's ruling Communist Party pledged to make boosting consumer spending a greater policy focus, as weak domestic demand threatens the nation's annual growth target despite an export boom. – Bloomberg

BEIJING: China will gradually implement consumption tax reform through different items and standardise management of local governments' non-tax revenues, Vice Finance Minister Wang Dongwei said at a press conference in Beijing on Wednesday (July 31).

Local administrations will gradually be allowed to retain more of the consumption tax, which is currently collected by the central government and accounts for almost a tenth of China's total tax revenues, according to a Communist Party agenda-setting meeting this month known as a plenum.

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