On Sunday a State Council executive meeting discussed methods
for pushing forward tax reform in China's countryside.
A statement from the meeting, which was presided over by Premier
Wen Jiabao, said that the key to implementing
rural tax reform lay in advancing comprehensive rural reforms in
the government of townships, compulsory education and the financial
systems of town and county governments.
The statement stressed the necessity to test the comprehensive
reforms in more rural areas and encourage township governments to
focus on rural social management and public services by reducing
staff numbers and expenditure.
The statement also called for the improvement of compulsory
education reform to ensure financial resources were available for
free education for rural students.
On reforming and improving the financial systems of township and
county governments the statement promised to transfer more funds to
the local level after rural tax reform cuts a large part of their
tax income.
The statement also proposed the establishment of a system to
monitor farmers' debts.
The meeting discussed and adopted a draft anti-drug law which
will be submitted to the Standing Committee of National People's
Congress for deliberation after further revision.
(Xinhua News Agency July 3, 2006)