The Differences of Chinese and American Tax Systems
|School||Southwestern University of Finance and Economics|
|Keywords||China and the United States tax system Economy Political system Cultural systems Tax reform|
In the case of the same total tax revenue levied direct taxes than indirect taxes to give consumers greater utility, which is known as the principle of lump-sum. Therefore, from the perspective of consumer utility to examine the presence of direct taxes are more reasonable, and the existence of indirect taxes is less timely. However, the reality is that there are not only direct taxes and indirect taxes. And found that the structure of China's tax system with indirect tax nature of the turnover tax, the tax structure of the United States is the nature of direct taxes, the income tax as the main. Comparison of Sino-US tax system following drawbacks in the tax structure in China: From the proportion of turnover tax, lower income tax, the overall tax structure is irrational. Second, value-added tax and business tax both the turnover tax, it is difficult to avoid the double taxation. Third, the income tax, the proportion of personal income tax is too low, both difficult to meet the needs of the growing fiscal expenditure, but also difficult to effectively regulate the distribution of income. The corporate income tax internal difference between taxation of both domestic and foreign enterprises, to the detriment of fair. Fourth, taxes less, not be able to adjust the overall socio-economic, and failed to give full play to the role of the tax system. Theory with actual departure from, and thus revealed the shortcomings of research questions for this article: 1, why China and the United States, and even almost all countries is the coexistence of the tax system of income tax and turnover tax? 2, why China is based on circulation tax-based countries, while the United States is based on the income tax as the main country? 3, China has yet to complete the tax reform is whether to go to the income tax-based tax system path? article is by the economic system, the political system analysis and cultural systems, to identify the causes of the Sino-US tax differences. In this paper, the method of comparative analysis, time progress method with a combination of qualitative and quantitative three methods, based on extensive access to relevant information, is divided into five chapters to interpretation. The first part of the article's introduction, mainly based on the theory of consumer behavior in a lump sum clearly out of line with the reality of the principles and the Sino-US tax system - China and the United States tax system differences causes. Summarized the second part of the research, including the main factors affecting the tax structure, as well as double the main tax structure, which makes me a clear grasp of the issues related to the research status quo, but also provide a reference for me to further identify research issues. The third part is from the point of view of the economic system - system of property rights, resource allocation, distribution system and contract system - to analyze the reasons for the Sino-US tax differences arise. The fourth part from the two aspects of the political systems and cultural systems, to further the cause of Sino-US tax system differences. Part V some conclusions are drawn on the basis of in front of a concrete analysis of China's tax system reform, and later combined with some policy recommendations. Through analysis, the paper argues that: the existing institutional basis of objective existence of different tax systems in China and the United States, are the result of rational choice under specific historical conditions of the period, it is not contrary to the principle of a lump sum, as a total pay principle is established under certain constraints; 2, chosen by the two countries have different economic systems, such as a different system of property rights, resource allocation, and distribution system, as well as different contractual system, causing important reason of the tax system differences between the two countries; 3, in addition to the economic and institutional factors, choose a different political system of China and the United States, as well as their historical and cultural differences, but also the formation of the important reasons for different tax regime between the two countries ; 4 from both equity and efficiency point of view to think, because of the multifaceted environment and changes in the system, our current tax system is increasingly unable to meet the needs of economic and social development must be appropriate reforms to income tax The changes in the tax structure system should be a reform direction. I learn and understand, with some new ideas in two ways. First, put forward a new angle to study the problem. From the current research literature, although some research literature on the differences of the Sino-US tax system, but why to study this problem, almost all of the articles are matter-of-found no clear departure of theoretical and practical. Second, this paper adopts the perspective of system analysis also has some new ideas. Existing literature on the look, but also from the regime to study the causes of the tax difference, but the specific analysis of the system of classification and this is not the same as a comprehensive analytical paper from the three systems of economic, political and cultural, to find formation of the root causes of our tax system. Course, there are also some shortcomings, for example, due to reasons of data availability makes this article does not measure analysis, also the lack of rigorous mathematical analysis.