Could China's annual GDP hit 7.5 trillion USD by this year?

[Chinese Century]

No less than 7.2 trillion as many already predict 47 trillion yuan for the 2011 GDP.

the IMF uses the AVERAGE exchange rate during the year, not the year end exchange rate.
u are using the year end exchange rate.


so it depends by how much the rmb appreciates before the end of the year.

edit:
after some calculations and based on the assumption that the chinese gdp is 46 trillion rmb and the year end exchange rate goes to 6.3 which gives an average exchange rate of 6.45, i predict the chinese economy will be around $7 trillion.

 

[AADHAAR]

I don't quite understand why people are not pleased with the trend. I think people who complain about the society should all be send to India as a punishment.

I don't think Indian demand will be more than a handful.
(zoos, I think).

Try elsewhere.

 

[ChineseTiger1986]

wealth distribution and corruption, rich people are getting very rich, but again we dont have a western style welfare system to feed those really unfortunate or truly lazy and whining people..

That's why CCP is also very lucky to have the Chinese people as its citizens.

Imagine what would happen if they have those lazy people from the West.

---------- Post added at 11:10 AM ---------- Previous post was at 11:08 AM ----------

the IMF uses the AVERAGE exchange rate during the year, not the year end exchange rate.
u are using the year end exchange rate.


so it depends by how much the rmb appreciates before the end of the year.

edit:
after some calculations and based on the assumption that the chinese gdp is 46 trillion rmb and the year end exchange rate goes to 6.3 which gives an average exchange rate of 6.45, i predict the chinese economy will be around $7 trillion.

I say close to 7.3 trillion minimum and close to 7.5 trillion maximum if it bases on the average exchange rate of 2011.

 

[rcrmj]

those GDP argument is pointless```lets make RMB the international reserve currency, then 48 trillion RMB is like the sum of rest G20s`lol

 

[no_name]

What are the tax rates like in China? Do they have flat tax rates no matter how much you earn?

 

[Nomenclature]

What are the tax rates like in China? Do they have flat tax rates no matter how much you earn?

Personal income tax is progressive in China with a very high (twice as the average salary) minimal threshold. The majority of the working Chinese don't pay any income tax. However VAT is relatively high and so is the tax on corporations.

 

[no_name]

Personal income tax is progressive in China with a very high (twice as the average salary) minimal threshold.

Sorry I don't quite get that sentence. What do you mean by high minimal threshold, do you mean below this threshold you don't have to pay any tax?

 

[Nomenclature]

Sorry I don't quite get that sentence. What do you mean by high minimal threshold, do you mean below this threshold you don't have to pay any tax?

Means the lowest tax bracket starts at about twice the average income, so anyone earning below that is not paying any income tax.

 

[ChineseTiger1986]

those GDP argument is pointless```lets make RMB the international reserve currency, then 48 trillion RMB is like the sum of rest G20s`lol

But our RMB is not the internatinal reserve currency yet, so we still have to calculate our GDP based on the US dollar.

 

[regular]

That's why CCP is also very lucky to have the Chinese people as its citizens.

Imagine what would happen if they have those lazy people from the West.

---------- Post added at 11:10 AM ---------- Previous post was at 11:08 AM ----------

U know in my opinion China knows how to melt the extra fat outta the Western lazy people and remake them as active workers back again if hire them. Not a big deal for China.

 

[Chinese-Dragon]

What are the tax rates like in China? Do they have flat tax rates no matter how much you earn?

Hong Kong has one of the lowest tax rates in the world, it is awesome.

 

[gpit]

Sorry I don't quite get that sentence. What do you mean by high minimal threshold, do you mean below this threshold you don't have to pay any tax?

I did some study.

Looks like monthly income below 3500 yuan pays no tax.
After that, additional 0-1500 pays 3%, 1500.01-4500 10%, 4500.01-9000 20%, 9000.01-35000 25%, 35000.01-55000 30%, 55000.01-80000 35%, 80000.01- 45%.

6.38 Yuan = 1 USD.

It seems not bad compared with US, as real estate tax is not high in China and there are no sale's tax in the goods (somebody claims that those taxes are already factored in the price).

In NJ, real estate tax alone eats average of $7,281, N.J. average property taxes grow 3.3 percent to an average of $7,300 | NJ.com in addition to 7% sales tax, state tax, and federal tax.

How about in NZ?

 

[no_name]

In NZ it depends how much you earn. I don't have full time job but I work as TA which pays by hours and the deduction is around 17%-20% ish. I think after 40 or 50K there is a jump in tax rate which is why some people would not bother with a raise if that raise is not enough to cover the extra tax that needs to be paid.

The rate is here:

http://www.ird.govt.nz/how-to/taxrates-codes/itaxsalaryandwage-incometaxrates.html

You can see there is a big jump after $48000. My TA contract alone earned no where near $14,001 PA but I do have a scholarship which they probably included as income although it itself is not taxed.

 

[Nomenclature]

It seems not bad compared with US, as real estate tax is not high in China and there are no sale's tax in the goods (somebody claims that those taxes are already factored in the price).

There is a sales tax (VAT), but the rules are very complicated. For example, if a farmer sells his own produce in a farmer's market, he doesn't pay any tax for the sale. If he sells his produce to the owner of a vegetable stall, then the stall owner need to pay 3% VAT as he runs a small business. If he sells his produce to a supermarket, then the supermarket will have to pay 13% VAT (as the supermarket is a large business).

 

[AndrewJin]

Can or cannot?