China Missing out on Billions in Lost Taxes

China is failing to collect billions in taxes from some of its wealthiest citizens, hampering efforts to tackle a widening gap between rich and poor.

Beijing’s tax collectors have been vexed by wealthy residents who are able to launder money and move it abroad through casinos, fine art buys and fake trade invoices — practices that result in lost tax revenue.

Closing the gap between the urban rich and the hundreds of millions of poor citizens is a priority for Beijing. Last year, the government announced plans to hike the minimum wage in many parts of the country and limit salaries at state-owned enterprises.

CNN

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.