THE National People's Congress (NPC) concluded its annual session Friday with the adoption of a landmark property law and a corporate income tax law.

The property law, granting equal protection to public and private properties, was adopted by an overwhelming majority vote.

The NPC adopted the property law with 2,799 votes for and 52 against, and 37 abstentions.

The 247-article law, which is due to come into effect as of Oct. 1, stipulates that "the property of the State, the collective, the individual and other obligees is protected by law, and no units or individuals may infringe upon it."

Observers said the law was the fruit of China's reform and opening up and will in turn help drive the reform and opening up of the country.

"The significance of the law's adoption lies in the fact that it helps complete China's property rights system," said Jiang Ping, former president of the Chinese University of Political Science and Law.

To address public concerns over fraudulent acquisitions and mergers of State property, the law stipulates that illegal possession, looting, illegal sharing, withholding and destruction of State property are prohibited.

In a move to better protect farmers from land seizure, the law stresses the protection of arable land, stipulating that the transformation of land for agriculture into land for construction is "strictly restricted."

Deputies voted 2,826 to 37 to accept the corporate income tax law and 22 cast abstentions.

The 60-article corporate income tax law, which proposes a 25 percent unified tax rate for domestic and overseas-funded enterprises, will take effect from Jan. 1.

The law is designed to establish a standardized enterprise income tax system and an environment for fair competition. At present, foreign companies are taxed at 15 percent while Chinese firms pay 25 percent on average, with some paying up to 33 percent.

However, overseas players can enjoy a five-year grace period on their current low tax rate before complying with the new rates, easing their concerns about disruption of operations.

(Xinhua)