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Beijing will toughen tax evaluation and examination on 11 industries including real estate in 2006 to prevent tax evasion, according to the Beijing Local Taxation Bureau.

 

The move is expected to add nearly 5 billion yuan (US$625 million) of taxes in 2006, said Wang Jiping, director of the Beijing Local Taxation Bureau.

 

These industries include real estate, exhibitions, lawyering, auctions, performance, intermediary services, finance and insurance.

 

Beijing failed to collect at least 1 billion yuan (US$125 million) of taxes from the real estate industry in 2005, Wang said.

 

China raised the personal income tax collection point to 1,600 yuan (US$200) from Jan. 1, 2006.

 

It is predicted that Beijing's personal income tax revenue will grow at a slower pace to reach 22 billion yuan (US$2.75 billion) in 2006, according to Wang, down 3 percentage points at 14.7 percent compared with 2005's 17.6 percent.

 

(Xinhua News Agency January 21, 2006)