China eyes streamlining legislative process to realize rule of law(2)

But it also strictly restricts their power to issuing local laws about "rural and urban development and management, environmental protection, and preservation of historical heritage and cultural values."

The bill responds to the increasing need of Chinese cities to better address their own problems as a national law is too rigid to do so, Ying said.

"In a large and populous country like China, different cities could have completely different priorities and problems. It is more efficient to let locals decide their own affairs," he said.

FULL STATUTORY TAXATION

Statutory taxation was underlined by the bill through singling the principle out in one provision. The current law buries it in a provision together with other matters that must be decided by the law.

It makes clear that tax can only be levied or canceled through the law and the basic system of taxation can only be decided by the law.

It is considered an attempt by the national legislature to change the current taxation arrangement.

Of China's 18 existing taxes, only three -- individual income tax, corporate income tax, and vehicle and vessel tax -- are levied through legislation, while the others are imposed through formal or provisional regulations issued by the State Council.

Such an arrangement was laid because the NPC Standing Committee had authorized the State Council to levy taxes about business activities in 1985 when the country embarked on its sweeping reform and opening up.

As the circumstance changed, both the legislature and public have realized the pressing need to install the complete statutory taxation, Liang said.

Fu Ying, spokeswoman for the third session of the 12th NPC, told a press conference on Wednesday that China aims to realize full statutory taxation by 2020.

CHECK ON ADMINISTRATIVE POWER

Several provisions in the bill aim to rein in administrative power.

One provision bans ministries and local governments from issuing rules and policies that mitigate citizens' rights or increase their obligations without legal foundation.

"This provision will be a warning against inappropriate administrative rules," Liang said.

Prof. Ying noted that it is an effort to stress the legitimacy of government rules and push the government to legally exercise their power.

A few provisions are about enhancing the top legislature's duty of examining whether all government regulatory documents are in line with the Constitution and law.

It clarifies that the NPC departments may review government regulations and local laws without being requested. If a citizen or organization requests the review, the top legislature may present the feedback and publicize the result.

"If the NPC plays a better role in carrying out the legitimacy review, the government will be under stricter scrutiny," Ying said.