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Chinese Netizen Fined over 1M Yuan for Using VPN

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Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#52
post #13

Some context which may be relevant: many local governments in China are in heavy debt, and they need more income: police have been collecting more and more fines, causing some outrages [1]. There are reports that many civil servants are unpaid for months (in Tianjin [2] and other cities [3][4]), in addition to getting heavy wage cuts [3][5]. A penalty of over 1 million yuan (>145K USD) for using VPN is a new developm…

So this is because local authorities are short on money? Surely there would be more money in fining people for jaywalking or driving without a bicycle helmet?

yeah they do have other ways to fine, this particular one became popular because 1M is considered too much and too ridiculous.

Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#53

Where I live (Sweden) it’s legal to use GitHub (with or without a VPN). But if I fail to report 138000 USD in earnings I’d still be in for a world of hurt: First the tax authority would take about 100000-200000 USD from me. Then I’d be prosecuted for tax fraud. Nobody would be upset or come to my defense. Not saying I prefer the Chinese system, but it’s interesting that in this specific case it’s probably more lenien…

Economic freedom is second among the freedoms only after physical safety. With enough money you can buy all the others, and all the others exist primarily to ensure you can be safe and end up with enough money. This fact is ignored, overlooked, or pooh-poohed by those whose ambitions for society requires a large state. To maximize human freedom, there's an optimal balance to be struck between a stateless society and…

China is very high on the economic freedom scale (setting up a business, taxation etc.); probably much higher than the US or Europe.

Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#54

Where I live (Sweden) it’s legal to use GitHub (with or without a VPN). But if I fail to report 138000 USD in earnings I’d still be in for a world of hurt: First the tax authority would take about 100000-200000 USD from me. Then I’d be prosecuted for tax fraud. Nobody would be upset or come to my defense. Not saying I prefer the Chinese system, but it’s interesting that in this specific case it’s probably more lenien…

Economic freedom is second among the freedoms only after physical safety. With enough money you can buy all the others, and all the others exist primarily to ensure you can be safe and end up with enough money. This fact is ignored, overlooked, or pooh-poohed by those whose ambitions for society requires a large state. To maximize human freedom, there's an optimal balance to be struck between a stateless society and…

Economic freedom can only be enforced with police, meaning the state protecting the assets of the rich. So no, it's not as simple as you say.

Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#55
post #14

Earlier quoted context omitted.

Thanks, but I feel that you didn’t finish your thought. Why is that important to consider it in this context?

It sounds like he's saying this is not an abuse of the central government, but by a local one. I doubt VPNs are illegal in China in general.

VPNs are illegal in China in general, but China isn’t a rule of law country so that in itself isn’t very meaningful (free speech is guaranteed by the Chinese constitution for example, but that’s irrelevant). VPN usage is rarely prosecuted unless they want to get you on something (a basic thing in rule by law).

Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#56
post #7

Yet various government agencies sidestep the GFW and use banned social media. Bizarre

From the article: "One Twitter user raises an important perspective on the incident, highlighting that there are legitimate pathways with private VPNs, including obtaining internet access permits and operating licenses, for information to flow from terminals to networks."

To get out of the prison you just need to fill in this form and hand it to the guards who’ll then approve or reject it at their discretion.

Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#57

Where I live (Sweden) it’s legal to use GitHub (with or without a VPN). But if I fail to report 138000 USD in earnings I’d still be in for a world of hurt: First the tax authority would take about 100000-200000 USD from me. Then I’d be prosecuted for tax fraud. Nobody would be upset or come to my defense. Not saying I prefer the Chinese system, but it’s interesting that in this specific case it’s probably more lenien…

> But if I fail to report 138000 USD in earnings I’d still be in for a world of hurt: First the tax authority would take about 100000-200000 USD from me. Then I’d be prosecuted for tax fraud And where in the world do you think this would not be the case? (except maybe in 3rd world countries with bribable authorities) (such a fine of 100k is probably on the higher end for most places though)

In most of EU, the tax authority first asks you nicely to fix your mistake, and only if you don't, they confiscate the owed amount plus a small fine (given that it's your first offense and they don't see it as intentional fraud).

I used to have my life in serious disorder and they confiscated the owed tax three times from me. Never got fined more than $100, though I had to call and apologize the second and third time to have it reduced from ~$500.

Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#58

Where I live (Sweden) it’s legal to use GitHub (with or without a VPN). But if I fail to report 138000 USD in earnings I’d still be in for a world of hurt: First the tax authority would take about 100000-200000 USD from me. Then I’d be prosecuted for tax fraud. Nobody would be upset or come to my defense. Not saying I prefer the Chinese system, but it’s interesting that in this specific case it’s probably more lenien…

> But if I fail to report 138000 USD in earnings I’d still be in for a world of hurt: First the tax authority would take about 100000-200000 USD from me. Then I’d be prosecuted for tax fraud And where in the world do you think this would not be the case? (except maybe in 3rd world countries with bribable authorities) (such a fine of 100k is probably on the higher end for most places though)

> And where in the world do you think this would not be the case?

I think their point is precisely that this Chinese case might be more similar rather than different to the rest of the world.

> (such a fine of 100k is probably on the higher end for most places though)

In neither the Chinese case nor on the Swedish case does it seem to be a fine. It's rather a confiscation of illegal earnings, which is then followed by an actual fine.

Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#59
post #7

Yet various government agencies sidestep the GFW and use banned social media. Bizarre

Microsoft China has its own line into and out of China via China telecom that isn’t through the GFW, all legal and they wouldn’t be able to do anything in China otherwise. I’m sure lots of foreign companies have similar arrangements.

Re: Chinese Netizen Fined over 1M Yuan for Using VPN

#60

Earlier quoted context omitted.

Economic freedom is second among the freedoms only after physical safety. With enough money you can buy all the others, and all the others exist primarily to ensure you can be safe and end up with enough money. This fact is ignored, overlooked, or pooh-poohed by those whose ambitions for society requires a large state. To maximize human freedom, there's an optimal balance to be struck between a stateless society and…

China is very high on the economic freedom scale (setting up a business, taxation etc.); probably much higher than the US or Europe.

Sure, so economically free, besides the communism part
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