NPCSC Grants Broader Legislative Powers to Shanghai & Hainan, Widens Scope of Public Interest Litigation by Procuratorates

The NPC Standing Committee (NPCSC) concluded another busy session on Thursday, June 10 with the adoption of eight bills. Two of them—the Anti–Foreign Sanctions Law [反外国制裁法] and the Data Security Law [数据安全法]—have already received worldwide attention and are sure to generate additional commentary in the days and weeks to come. Rather than adding duplicative coverage (beyond our Twitter thread on the sanctions law), we will try something new in this post-session recap. We will steer clear of the two blockbuster bills and will instead focus on two themes found in last week’s other legislation that may have escaped your attention.

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NPCSC Session Watch: Data Security, Legal Aid, Workplace Safety, Vocational Education & More (Updated)

UPDATE (June 7, 2021): Xinhua reported on June 7 that the NPCSC is also reviewing a draft Anti–Foreign Sanctions Law [反外国制裁法], which underwent a secret first review at the NPCSC’s April session, as well as a draft decision granting the Shanghai legislature authority to enact “Pudong New Area regulations” for the city’s Pudong New Area, an authority that appears comparable to that of cities encompassing special economic zones. Both bills are expected to pass on Thursday, June 10.


On Wednesday, May 26, the Council of Chairpersons decided to convene the 29th session of the 13th NPC Standing Committee (NPCSC) from June 7 to 10. This session is earlier than a regular NPCSC session, which typically takes place near the end of a month. This could mean either that the NPCSC is holding another session later this month, consistent with a recent Communist Party directive to add legislative sessions to speed up the pace of legislation; or that the NPCSC is making way for the Party’s centenary celebrations around July 1. Some urgent matter could also have required the NPCSC to meet earlier, but we have yet to see any such indication. The NPCSC will review at least ten bills at its upcoming session. A quick rundown follows.

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NPCSC Seeks Public Comments on Draft Stamp Tax Law

The NPC Standing Committee (NPCSC) is seeking public comments on a draft Stamp Tax Law [印花税法] through March 29, 2021. The draft is available in PDF here and an explanatory document (in Chinese) here. An English translation will be provided if and when available.

To submit comments online, please refer to this guide. Comments can also be mailed to the NPCSC Legislative Affairs Commission [全国人大常委会法制工作委员会] at the following address:

北京市西城区前门西大街1号 邮编: 100805
No. 1 West Qianmen Avenue, Xicheng District, Beijing 100805

Please clearly write “印花税法草案征求意见” on the envelope.

NPCSC Session Watch: NPC Preparations, Stamp Duty & Mid-Term Report on Civil Litigation Reform Pilots (Updated)

UPDATE (Feb. 26, 2021): Various media outlets have recently reported that the NPC would deliberate a bill to overhaul Hong Kong’s electoral system at its upcoming March plenary session. We expect the NPCSC to conduct an initial review of this bill during its meeting on February 26–27, although it is likely that such activity would not be publicly disclosed.


The Council of Chairpersons decided on Tuesday, February 9 convene the 26th session of the 13th NPC Standing Committee (NPCSC) from February 27 to 28. The main purpose of this two-day meeting is to prepare for the upcoming NPC session, which is scheduled to open on March 5. The meeting will, for instance, propose an agenda for the NPC session and discuss the NPCSC’s annual work report to the NPC. The meeting will therefore review only one legislative bill and a few reports. We will briefly discuss the bill and highlight one report below.

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Tracking China’s Progress Towards Law-Based Taxation

TAX

China currently collects 18 types of taxes. They will generate an estimated total of 8 trillion RMB in revenue for the Central Government in 2018. But only six of them—providing only about a third of the central tax revenue—are imposed by laws [法律] enacted by the legislature, the NPC or its Standing Committee (NPCSC). The rest are governed only by interim regulations [暂行条例] adopted by the State Council—the Central Government itself. The enormous taxing power the State Council now wields was in fact granted by the NPC in 1984. Now, over three decades later, the NPC is reclaiming that power by gradually elevating the interim regulations into laws, with an eye to complete the process by 2020. In this post, we will explain why the NPC made the power grant in the first place and discuss what it has recently been doing to reassert its control over taxation.

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