CHINA'S tax chief admits the country's new tax reforms have caused confusion and other problems, but has pledged to take prompt measures to ensure their smooth implementation.
Price levels have been stable since the introduction of the new tax laws this month and Jin Xin, the director of the State Administration of Taxation, said the public response to the tax revamp was generally sound.
But he conceded there were ''minor problems'' that needed to be solved.
Speaking during a televised conference of tax bureau chiefs, Mr Jin stressed that commodity prices should not be raised using the introduction of value added tax (VAT) as a pretext. Such a move, he said, would infringe upon the rights of consumers.
Mr Jin said some commercial units and individuals were confused about the VAT, which he insisted was not an additional 17 per cent taxation on top of original commodity prices.
Many taxpayers had also failed to understand regulations on issuing special receipts for VAT, he added.
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