News >China

Calls to lower 17% tax on steamed bread

2011-02-21 10:39

Steamed bread sold in supermarkets is taxed as high as 17 percent and should be lowered, according to a proposal to be delivered to the Chinese People's Political Consultative Conference (CPPCC).

Pan Yaomin, who is the vice president of a flour company in Shandong province that produces steamed bread and also a CPPCC member, says the rate is too high and not only adds burden to people's daily consumption, but does no good to the country's food safety, Shandong Business Daily reported Monday.

"Steamed bread is not like sea cucumber, the lack of which won't affect people's living. But it will be hard for them to make do with not eating steamed bread," said Pan, whose company has to bear a 17 percent taxation rate.

Pan said the government has done a lot to ease people's cost of living and to tame price increases, and the most "scientific, direct and effective" way will be to cut steamed bread tax.

The annual plenary sessions of the CPPCC and the National People's Congress (NPC) will be held in March.

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