The right to lead a good life

The just-concluded annual sessions of the National People's Congress (NPC) and the Chinese People's Political Consultative Conference (CPPCC) National Committee were especially important for two reasons. First, they signalled the beginning of the 12th Five Year Plan (2011-2015). Second, the new plan signals the formal restructuring of China's economy to focus on domestic development. Many believe that the end result will be momentous, in large part because of China's pivotal role in helping the world economy recover.

The economic restructuring has a special meaning for China. For example, there will be material development in the high-speed train network and other infrastructure facilities. There will also be socio-economic development with long-term significance, intended to narrow the widening income gap between the rich and the poor, to lift more people out of poverty, and to fortify a growing, strong and stable middle class.

Given the government's goal of social economic development, they will naturally have implications on the reforms in individual income tax and income distribution. Public sentiment is now galvanized over the reforms, which aim to help the poor and focus on larger policy issues of fair wealth distribution and better livelihood for the people.