China’s fiscal revenue rose at a slower pace in November, the Ministry of Finance said, citing adjustments to the tax code and declines in property and automobile transactions.
Fiscal revenue climbed 10.6 percent to 645.7 billion yuan ($102 billion) last month, compared with 16.9 percent in October, the ministry said in a statement posted on its website today. Expenditure increased 7.5 percent to 1.14 trillion yuan, according to the statement, indicating a deficit of 494 billion yuan for November.
In September, the government raised the personal income tax threshold by 75 percent to 3,500 yuan per month, reducing the number of tax payers by 60 million, according to government estimates. Last month, the finance ministry said it would raise the threshold for payment of value-added and business taxes so that fewer small companies will have to pay the levy.
Passenger-car sales rose at the slowest pace in six months in November, gaining 0.3 percent to 1.34 million vehicles, according to the China Association of Automobile Manufacturers. Residential values fell for a third month in November as developers cut prices to boost sales amid expanded housing curbs, according to SouFun Holdings Ltd.
In the first 11 months, China’s fiscal revenue grew 26.8 percent from a year earlier to 9.73 trillion yuan, exceeding the full-year budget of 8.97 trillion yuan, according to the finance ministry statement. Expenditure rose 24.3 percent to 8.9 trillion yuan in the same period.