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New laws, regulations take effect on New Year's day
www.chinaview.cn 2006-01-01 15:36:45

    BEIJING, Jan. 1 (Xinhuanet) -- A series of new laws and regulations concerning people's daily life and their interests, ranging from tax reform to business operation, took effect on Sunday, New Year's day. The following is a brief review of the new rules:

    -- Farming tax dropped

    China's 2,600-year-old agricultural tax is rescinded as of Jan.1, 2006, after China's top legislature, the National People's Congress (NPC) voted on Dec. 29, 2005 to adopt a motion on the regulations revoking the agricultural tax.

    -- Personal income tax eased

    The personal income tax cutoff point was raised to 1,600 yuan (about 197 U.S. dollars) a month from 800 yuan (about 98.8 U.S. dollars) to ease the financial burden on the country's least fortunate, according to amendments to the income tax law, which took effect Sunday.

    -- Civil servants' life made "harder"

    China formally implemented the country's first law governing civil servants starting from Sunday to improve its civil servant system by defining officials' rights and responsibilities.

    The law stipulates that all public servants should be recruited through just, open and fair examinations and officials should take the blame and quit their posts if their mistakes or negligence cause major losses or serious social repercussions.

    Actually, a major ministerial-level official's resign at the end of 2005 echoed the effect of the new Civil Servant Law after China's top legislature approved it in April, 2005. Xie Zhenhua, the former head of China's State Administration of Environmental Protection, handed in a letter of resignation for dereliction of duty in a water contamination accident in November in northeast China.

    -- Death sentences to be meted out with more caution

    China's Supreme People's Court (SPC) requires local courts to open court sessions when hearing cases of death sentences in the second instance as of Jan. 1, 2006 in a bid to make court proceedings on death penalty appeals open to the public, in that the second instance of cases of death sentences with major controversy can be heard in public and from July 1, 2006, all death sentence cases in the second instance can be heard in open court.

    It is another important step taken by the SPC to reform its trial of death sentence cases, after the SPC announced to retrieve the power of approving death penalty from provincial higher people's courts in October, 2005.

    -- One-person company allowed

    Taking effect from Sunday, the newly-amended corporation law allows the establishment of one-person companies and reduces the minimum registered capital required to set up a company, strengthens rules on corporate governance, improve shareholder protection, especially for small-and-mid-sized shareholders and better guard against fund misuse.

    -- Small investors to be better protected in stock market

    Taking effect on Sunday, the newly-amended Securities Law has more room for the future development of the country's stock market, and includes articles on setting up a state fund for the protection of investors, especially the small-and-mid-sized investors.

    -- Traffic police under watch

    Also going into force on Sunday is several stricter regulations to rein in traffic-law enforcement.

    The new rules said police officers must be polite and wear badges and possess IDs while working on their post. Police officers from the traffic administration are forbidden to detain vehicles, driving licenses or car plates illegally. Those who refuse to give a receipt, make false reports on the amount of fines, or take bribes will be punished in accordance with their behaviors.

    -- No false papers allowed

    As of Sunday, one who applies for setting up a company in China has to be liable to the credibility of the documents submitted, according to a regulation on management of company registration previously revised by the State Council, or the Chinese cabinet.

    -- Car purchase tax collection standardized

    Starting from Sunday, private car owners have to offer such certificates as the owners' identification and the price tickets of the cars when paying for the car purchase tax in an effort to standardize the collection of the car purchase tax in China.

    -- Renewable energy encouraged

    China officially implements the Renewable Energy Law Sunday to ease its energy strain, with an article stipulating that surveys of renewable energy resources should be made public except for those needed to keep confidential by the state's decision.

    According to the law, renewable energy includes hydroelectricity, wind power, solar energy, geothermal energy and marine energy, all of which should be taken consideration in the state and local development plans. Enditem

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