This paper calculated the effective tax rate of capital income,labor income and consumption expenditure dur- ing 1999-2005 in all the eastern,western and middle area in China,using the international adapted average effective tax rate method to measure the actual tax rate.

This article intends to analyze the unfair phenomena of imbalance between labor income and capital income,farmers lower income,higher income from monopoly industry,power to rent and disparity in income with the hope of constructing socialist harmonious society.