Study On The Efficiency Of The Enterprise Income Tax

It is well-known that under the situation of perfect market, such as property rights defining clearly, capital market functioning well, without externality and government intervention, etc, the information transferred by market value will bring production efficiency, exchange efficiency and product mix efficiency. The market process will induce resources be used efficiently and the economy will realize optimal growth. None can live better if the others live in the same conditions. However, in reality, these ideal conditions can not be satisfied. Taxation may be one of the most important factors affecting optimal resource allocation. To finance public goods and transfer payments, governments levy tax, which will affect the activity of corporations and families. Further, it will affect the optimal allocation of resources, the speed of economic growth as well as the level of national welfare. Enterprise income tax, which is popular in the world, has important influence on capital accumulation, economic growth and the activity of families and corporations. Different types and regulations of enterprise income tax have different effects on economy and efficiency. For not be a lump sum tax, enterprise income tax distorts the choice of economic sectors. The complexity of administration and transfer pricing rules bring high administrative cost to tax authority and substantive complying cost to taxpayers. It is no doubtable that the efficiency of current enterprise income tax system is not well-content. There are great significance in both theory and practice for studying the tax system with minimizing economic distortion and maximizing efficiency. We should do our best to avoid excess burden caused by the impairment of working incentives, distortion of consuming types, or misallocation of producing factors. To some extent, the objective is similar with the objective of Colbert, who described the art of taxation as painless ways to pluck the goose. The dissertation will review the enterprise income tax system around the world, analyses the efficiency caused by different types of enterprise income tax as well as various detailed regulation. The dissertation will also evaluate the efficiency of current enterprise income tax in China, summarize the international trend of efficient reformation in enterprise income tax, and find the essential and regular characteristics of enterprise income tax. Based on these, the dissertation will probe into the method and track increasing the efficiency of our enterprise income tax, to construct the reforming model of enterprise income tax which adapting the economic development and administration situation in present period.The dissertation includes six chapters, the contents is as following:Chapter 1 introduces the background and significance of the dissertation, defines relative concepts, reviews literature, and provides course and frame of the research, points out the innovation and shortage. From the angle of economic growth, Chapter 2 discusses the economic efficiency of enterprise income tax. The efficiency of enterprise income tax in economic growth will be emphasized. From the angle of resources allocation, Chapter 3 discusses the economic efficiency of enterprise income tax. The efficiency of enterprise income tax in resources allocation will be emphasized. Chapter 4 studies the administrative efficiency of enterprise income tax, including collecting cost and complying cost. Chapter 5 introduces international reform trend of increasing efficiency of enterprise income tax. It focuses on the reforming measure in OECD countries to increase enterprise income tax efficiency. Chapter 6 evaluates the efficiency of current enterprise income tax in China. Based on this, several reforming suggestion to increase the efficiency of our enterprise income tax is set forth.The dissertation uses the normative analytical method, systemically constructs the theoretical frame of enterprise income tax efficiency analyses. Employing the production of enterprise income tax efficiency theory, the dissertation thoroughly probes into the efficiency status of current enterprise income tax system in China, and provides several reforming designs to completely and systemically improve the efficiency of our enterprise income tax.