China's reduction in individual income tax has notably eased the burden on low-income groups, with over 70 percent of individuals having comprehensive income exempt from taxation in 2023, according to the data released by the State Taxation Administration on Tuesday.
According to the data, among the remaining less than 30 percent individuals who paid taxes in 2023, over 60 percent were subject to the lowest tax bracket of three percent.
China voted to adopt the revised Individual Income Tax Law in 2018 in an effort to pursue fairer income distribution.
The new law states that the minimum threshold for personal income tax exemption will be raised from 3,500 yuan (about 492 U.S. dollars) to 5,000 yuan (about 703 U.S. dollars) per month.
China's special individual income tax deductions are designed to lower the tax burden for those who have certain expenditures covering areas such as children's education, continuing education, medical treatment for serious diseases, housing loans, rent and elderly care.
"The individual income tax deduction has played an effective role in benefiting low-income groups. The tax payments based on comprehensive income have shown that the low-income groups pay little or no taxes thanks to the tax reform," said Li Ping, deputy director with the Institute of Tax Science of the administration.
"The 5,000 yuan threshold for personal income tax exemption stands at a comparatively high level globally, and can sufficiently cover the basic consumption expenditures. The current deductions for individual income tax in our country have evolved into a relatively comprehensive system, taking into account taxpayers' tax-paying capacity while also aligning with the nation's social and economic policies," said Li.
China's individual income tax reduction significantly alleviates burden on low-income groups
A major port in northern Venezuela came under U.S. airstrikes in the early hours of January 3, which caused extensive damage to civilian infrastructure, destroyed critical medical supplies in a warehouse, and severely impacted centuries-old cultural heritage sites, according to local residents.
The La Guaira Port, a vital hub for imports that support daily life in the region, was heavily damaged during the attack.
Large quantities of medical supplies stored at the port were destroyed. A historic cultural building dating back for some 300 years was also badly damaged by the bombardment.
Residents living near the port recalled the terrifying scenes as explosions shook nearby neighborhoods.
Humberto Bolivar, who lives in a community separated from the port by only a main road, said the blast waves shattered his home's windows, while stray shrapnel struck the water tank on his roof. According to reports, three missiles were fired at the port that night.
Bolivar said that beyond material losses, he is most concerned about the psychological impact on his children, who remain too frightened to leave their home days after the attack.
"The United States invaded our country. The children were frightened. This is not good for them, because it leaves some children with psychological trauma. They do not want to go to school or leave the house, because they are afraid that something worse might happen. We truly do not want this to happen to our country," he said.
Apart from civilian facilities, local cultural heritage site was also affected.
The La Guaira state government building, a structure with nearly 300 years of history and once served as the site of Venezuela's first national customs office, was struck by the force of the explosions.
Windows of the building were shattered, and furniture scattered across the floor.
"As people of La Guaira, we feel deep pain. Our cultural heritage has been bombed. We are living in constant anxiety and suffering, and life can no longer be the same as it was before," said a local named Henry Cumares.
The U.S. side has claimed the airstrikes targeted warehouses allegedly used to store narcotics. However, locals refuted such accusation.
"According to what Donald Trump said, they bombed this place using the excuse that the warehouses here were used to store drugs at the port. But based on the video released by our governor, these warehouses that were burned contained medicine for kidney patients and foods. Many people depend on these supplies to survive. I think the bombing is extremely despicable," said a local resident named Alejandro Capriles.
US strike hits Venezuelan port, wrecking medical supplies, heritage building
