China’s tax evaders to be ‘severely punished’ as Beijing pushes for ‘common prosperity’
- Authorities will carry out more spot inspections and give greater exposure to tax crimes to help compliance
- China’s small firms, individually-owned businesses and manufacturers are also in line for tax cuts in 2022
China has vowed to pull no punches when it comes to cracking down on tax evasion in 2022, as Beijing pushes for more equal distribution of wealth under its “common prosperity” policy, while pledging more tax cuts to stabilise economic growth.
Authorities will carry out more spot inspections and give greater exposure to tax crimes to enhance compliance, the State Taxation Administration said at its annual conference.
“We will severely punish all kinds of tax evasion and show no forgiveness,” said the statement after the meeting on Thursday.
The announcement shows the shifting priorities of tax officials, who barely mentioned tax dodging in their 2021 agenda released in January, and instead pledged to minimise the interference of tax regulation on companies.
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