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Introduction to Taxation

Fan Bingbing is one of China’s highest-profile celebrities. She is one of the best paid actors in the world and is known in the west for her role in X-Men: Days of Future Past.In 2018, Fan Bingbing ‘disappeared’ following allegations of tax evasion. She returned to public life in 2019 following an investigation by the Chinese tax authorities. She apologised and agreed to pay fines and unpaid taxes to avoid criminal prosecution.Reaction to Fan Bingbing’s return has been mixed. Users of Weibo (a social media network in China) have been ‘overwhelmingly negative’ (The Guardian, 2019). Comments have included ‘these scandalous celebrities should forever be discarded by the audience’.The Guardian (2019) Chinese star Fan Bingbing reappears after nearly a year in the wilderness, The Guardian, 25 April, 2019.Required:Critically evaluate the approach to tax compliance that was used by the Chinese tax authorities in the Fan Bingbing case.Note: a detailed description of the Fan Bingbing case is not required. The focus of your response should be a critical evaluation of the approach to tax compliance that was used by the Chinese tax authorities.Overall word limit: 3000 words