First-half Welfare Tax Breaks Exceed RMB 320 Billion, 126 Million Benefit from Deductions Up 5.9%
State Taxation Administration head Hu Jinglin announced on July 28 that welfare tax incentives in the first half covering pensions, medical care, and education drove a year-on-year increase of 11.8% in tax reductions. A total of 126 million people benefited from special deductions for personal income tax, up 5.9% from a year earlier, while the tax reduction amount exceeded RMB 320 billion, representing an 8.2% year-on-year increase.
On July 28, State Taxation Administration head Hu Jinglin announced at a press conference held by the State Council Information Office that welfare-oriented tax incentive policies implemented in the first half in areas such as pensions, medical care, and education led to a year-on-year increase of 11.8% in tax reductions.
A total of 126 million people benefited from special deductions for personal income tax related to pensions, medical care, and education, representing a year-on-year increase of 5.9% in the number of beneficiaries. The amount of tax reduction exceeded RMB 320 billion, an increase of 8.2% compared with the same period last year.
Why this event matters
The event has a measured impact on 3 industrys. The strongest current signal is positive for Elderly Care, with intensity 55/100 and 70% confidence over a medium term horizon.
Elderly Care
- Direction
- positive
- Intensity
- 55
- Confidence
- 70%
- Horizon
- Medium term
General Hospitals
- Direction
- positive
- Intensity
- 45
- Confidence
- 65%
- Horizon
- Medium term
Primary & Secondary Education
- Direction
- positive
- Intensity
- 40
- Confidence
- 60%
- Horizon
- Medium term
Impact figures are analytical estimates that combine direction, intensity, confidence and event importance. They are not investment advice.