Fiscal revenue and expenditure are the key indicators to measure the local government's economy and financial resources. How the local fiscal revenue and expenditure in the past year, several provinces and cities recently revealed the financial results can be seen.
The first financial reporter combed and found that at present, in 36 provinces and municipalities (autonomous regions, municipalities directly under the Central Government and cities separately listed in the plan), six provinces and cities in Shanghai, Shandong, Shenzhen, Liaoning, Gansu and Qingdao have announced their fiscal revenue and expenditure for the whole year 2019. Six of them have a common feature: low income growth, or even a decline, and large-scale tax cuts are the main cause of the downturn.
Shanghai's local fiscal revenue in 2018 ranked third in the country, Shandong ranked fifth, the two places are worthy of the name of the financial province, but last year, the growth of revenue in both places is less than 1%, very rare.
According to official data, the local general public budget revenue of Shanghai in 2019 is 100 million yuan, an increase of% over 2018. Shandong's local general public budget revenue last year was 652.7 billion yuan, an increase of about% over the same period last year. Qingdao's revenue growth last year was only%.
Liaoning province's local general public budget revenue reached 265.2 billion yuan last year, a year-on-year increase of only%. Gansu's fiscal revenues have slipped. The province's general public budget revenue in 2019 was 100 million yuan, down% from a year earlier
Shenzhen's revenue per square kilometer is in the forefront of large and medium-sized cities throughout the country. Shenzhen's local general public budget revenue in 2019 was 100 million yuan, an increase of%. The increase is slightly higher than last year, though a closer look at the core tax revenues will see a year-on-year increase of% in revenue in Shenzhen in 2019, down from 2018(%).
Compared with the budget at the beginning of the year, many places did not meet their income expectations for the whole year, and many places adjusted their budget income targets after the middle of the year according to the actual income situation.
Taking Shandong as an example, Shandong's general public budget revenue target for the full year early last year was expected to be 5 per cent, eventually growing at less than 1 per cent in real terms. But at the end of november shandong province adjusted its provincial budget.
The most important factor in why local fiscal revenue growth has been sluggish, in addition to slowing economic growth, is massive tax cuts. Previously, some local officials told the first financial reporter that when the provinces set their budget revenue targets at the beginning of the year, they didn't expect the state to introduce such a big tax cut in March, and local revenue was therefore difficult to meet the expected target at the beginning of the year, and many places lowered their revenue targets.
Last year, China implemented an unprecedented tax reduction policy, which is expected to be more than trillion yuan in annual tax reduction, which has affected local fiscal revenue.
According to local official data, Shanghai expects to cut taxes and fees by 100 million yuan in the first 11 months. Shandong first 10 months tax reduction fee reduction of 131.8 billion yuan. Shenzhen expects a tax cut of more than 110 billion yuan in 2019. The province cut taxes and fees by nearly 70 billion yuan last year.
For example, the liaoning province's finance department said that the province's local general public budget revenue actually increased by% in 2019, after deducting tax cuts and fees. Taking into account the impact of policy cuts, Gansu's revenue growth of% last year was in line with local expectations.
The finance and taxation department calculates that last year's large-scale tax cuts driven GDP growth by a percentage point, fixed-asset investment by a percentage point, and retail sales of consumer goods by a percentage point. The current economic operation is in a reasonable range, which continues the overall steady and steady development trend, and the tax reduction and fee reduction policy plays an important role.
Professor Shi Zhengwen of China University of Political Science and Law analyzed the effect of cutting taxes and fees this year as the core goal, taking the problem as the direction, further refining the policy to solve the ambiguity in the policy practice, further improving the policy to improve the effect of tax reduction, making the tax reduction more accurate, scientific and effective. The next step in cutting taxes and fees is likely to be new.