Resource taxes should not only be expanded to more regions, but also cover more items, said an official with the Ministry of Finance on Saturday.

Related readings: Chongqing tax only on high-end housing   Higher personal income tax threshold urged  Income tax reform is proposed

Jia Kang, head of the Research Institute for Fiscal Science at the Ministry of Finance, said many resources products in China, such as coal and electricity, need better pricing mechanisms to improve distribution efficiency.

He made the remarks to chinadaily.com.cn on the sideline of the Chinese People's Political Consultative Conference (CPPCC) Committee session, which opened Thursday.

As for income tax reform, Jia said the goal was to narrow the income gap. Tax burdens should be further cut for low-income groups, while for high-income groups, taxes should be extended beyond regular salaries, such as income from financial assets.

Talking about the labor shortage, Jia said wage hikes are inevitable, but the pressure can be transformed into incentives for enterprises to make general upgrades.