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Tax policy on charity widened

By Guan Xiaofeng (China Daily)
Updated: 2007-01-20 09:05

The Beijing Times quoted Vice-Minister of Civil Affairs Li Liguo as saying the law would encourage any kind of charity or voluntary body to promote public welfare, and would strengthen supervision of charity organizations in their use of donations.

"There has been a strong voice in recent years to promulgate a charity law to standardize charity practices and give people more freedom to participate in public welfare undertakings," said Yang Tuan, a researcher with the Chinese Academy of Social Sciences.

However, Yang said the controversial draft might take another two to three years before it becomes law.

Yang, director of the academy's Social Policy Research Center and an expert involved in the draft law, said a major point of controversy was the government's role in charity activities.

He said the government should play a less dominant role and give non-governmental charity organizations more scope to grow.

Yang said the tough requirements for approval from the government to establish a charity organization hinders China's charity development.

"The law should make establishing charity or public welfare organizations as easy as registering businesses," Yang said.


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