Local Revenue


December, 2011

In 2011, the local government revenues of the Municipality amount to RMB 342.98 billion, 19.4% up from the previous year. Among the major revenue items, VAT increases by 7.2%, business tax rises by 11.5%, corporate income tax is up by 20.6%, and personal income tax grows by 20.6%. 

The Municipality's government revenues in 2011 have three characteristics: First, the contribution of services to revenue growth is more apparent. Revenues from services such as commerce, finance, leasing and business services have grown by more than 20%. Second, the industrial upgrading and profitability gain of the manufacturing sector have played an important role in the growth of Shanghai's local government revenues. The corporate income taxes paid by information technology, machinery whole-set equipment and bio-pharmaceutical manufacturers of Shanghai have increased by double-digit rates. Third, the government revenues at both the municipal and the district levels have achieved fast growth at par with each other. After the government fiscal system undergoes a second round of institutional reform, the government revenues at both the municipal and district levels have become better coordinated and have been growing at more balanced rates. In 2011, the government revenues at the municipal and district levels grew by 21.5% and 17.4% respectively.