(Yicai) April 23 -- China collected 75 percent more personal income tax last month than a year ago because annual bonuses were paid out later than usual due to the timing of the Chinese New Year.

Revenue from personal income tax tallied CNY97.8 billion (USD13.5 billion) in March, according to calculations based on data released by the finance ministry yesterday. From January to March, the total was CNY424 billion (USD58.5 billion), down 5 percent from a year ago.

The increase for last month was probably caused by year-end bonuses due to the 2024 Chinese New Year that was celebrated in mid-February, later than last year, said Feng Lin, director of research and development at Golden Credit Rating. The sum for the three quarters dropped because of favorable tax policies revealed in the second half of last year such as increasing the scope of special deductions, Feng added.

Last August, China added tax deductions of CNY1,000 (USD138) per month for expenses related to childcare and education, as well as elderly care to ease families' burdens.

In the first quarter, China's disposable personal income per capita tallied CNY11,539 (USD1,590), with real growth of 6.2 percent, according to the stats bureau.

As economic growth slowed, some firms grappled with operational pressures so they limited promotions, which affected workers' incomes, another industry insider said. However, the disposable personal income per capita kept rising so tax revenue should reverse from falling to growth, the person added.

The general trend of pay is upward still as the country’s revenue from personal income tax is expected to reach CNY1.57 trillion (USD216.7 billion) this year, up around 6.3 percent from last year, according to budget reports from central and local governments.

Editor: Emmi Laine