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Private sector to steam ahead despite some firms in credit crunch.
(From Business Daily Update)
Byline: the end of June this year, there were 2.21 million private
Author:
Headline: Private sector to steam ahead despite some firms in credit crunch
The disclosure of tax evasion and other scandals by prominent Chinese entrepreneurs may impact on their firms' stock value but not the development of the private sector overall, say Chinese economists.
"While some tax evaders are facing severe punishment, the private sector as a whole will become more financially sound through current taxation regulations," said Gao Peiyong, a leading tax economist with Renmin University of China.
The Chinese tax authorities have accused several billionaires of tax evasion over the past several months, such as Yang Bin, president of the Shenyang-based EuroAsia Group, and the movie star and businesswoman Liu Xiaoqing.
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