Related News
'Exempt and tax' model set for H2
By Zhang Fengming |
April 23, 2009, Thursday
|
Print Edition
Print Edition
A SCHEME that will let people defer tax payment on individual pensions is set to be finalized in the second half of this year, a source said.
The plan is one of Shanghai's innovations under the guidelines of the State Council, China's Cabinet, to build the city into a major financial hub by 2020.
A team comprising regulators and insurers, including China Life Insurance and China Pacific Insurance, has been set up to oversee the scheme, the unnamed source said.
The "exempt and tax" scheme is a mechanism that will let policyholders not pay tax on pensions when they buy policies and pay tax when they ultimately withdraw their profits. The program will be an incentive for people to buy retirement policies and boost insurers' pension products. The practice is already popular in Western countries.
A cap will be set on the investment to avoid possible tax evasion. But details such as the cap and how the tax will be collected are still being discussed, the source said.
"The scheme is not only an issue in the insurance industry, but is also relevant to bodies like tax and finance authorities," the source said.
The plan is one of Shanghai's innovations under the guidelines of the State Council, China's Cabinet, to build the city into a major financial hub by 2020.
A team comprising regulators and insurers, including China Life Insurance and China Pacific Insurance, has been set up to oversee the scheme, the unnamed source said.
The "exempt and tax" scheme is a mechanism that will let policyholders not pay tax on pensions when they buy policies and pay tax when they ultimately withdraw their profits. The program will be an incentive for people to buy retirement policies and boost insurers' pension products. The practice is already popular in Western countries.
A cap will be set on the investment to avoid possible tax evasion. But details such as the cap and how the tax will be collected are still being discussed, the source said.
"The scheme is not only an issue in the insurance industry, but is also relevant to bodies like tax and finance authorities," the source said.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 娌狪CP璇侊細娌狪CP澶05050403鍙-1
- |
- 浜掕仈缃戞柊闂讳俊鎭湇鍔¤鍙瘉锛31120180004
- |
- 缃戠粶瑙嗗惉璁稿彲璇侊細0909346
- |
- 骞挎挱鐢佃鑺傜洰鍒朵綔璁稿彲璇侊細娌瓧绗354鍙
- |
- 澧炲肩數淇′笟鍔＄粡钀ヨ鍙瘉锛氭勃B2-20120012
Copyright 漏 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
