Official statistics indicate that between the release of the Legislation Law and the end of 2004, 24 provincial-level standing committees of people's congresses held 38 legislative hearings on 39 regional regulations, which involved a wide range of topics, such as market supervision and the protection of consumers' rights and interests.
On September 27, 2005, 20 public representatives from different professions, social backgrounds and income levels from various parts of China took part in the first legislative hearing held by the NPC, where they voiced their opinions on the individual income tax threshold.
Before this legislative hearing, the NPC had invited hearing participants and received 4,983 applications. According to Chinese law, any citizen over 18 years old with a salary income could apply to take part in the hearing. The 20 finalists included a university professor, a lawyer, government officials, white-collar workers and migrant workers. The hearing, broadcast live from the beginning, attracted enormous coverage in the press.
The draft of an amendment to the Law on Individual Income Tax Law had planned to raise the threshold of individual income tax from the monthly salary of 800 yuan ($111.10) to 1,500 yuan ($208.3). After hot debate among hearing participants, the threshold was finalized at 1,600 yuan ($222.20).
Legal experts agreed that this adjustment demonstrated the practical impact of public opinion on the revision of the Law on Individual Income Tax Law.
Yang Jingyu, head of the NPC Law Committee who presided over the hearing, said holding the hearing was meant to give a platform to different opinions. "This is also an important measure of the NPC Standing Committee to stick to a new approach of inviting public participation and enhancing the transparency of legislation work," Yang said.
Cai Dingjian, a professor at China University of Political Science and Law, said the first legislative hearing held by China's top legislature would serve as a role model in promoting legislative hearings in China.