The Indefinite Law And Anti-Avoidance In Enterprise Income Tax Law

Facing enterprises’various forms of tax avoidance arrangements, the legislators is to choose the form of lists of possible tax evasion and clearly the appropriate legal punishment, or leave the formulation of general norms and law enforcement agencies to determine the specific content according to different situations? The former legislation are "rules"(rule), the latter are the "standards"(standard). Which is more efficient? Or, what specific factors influence the choice of legislators? Meanwhile, the anti-avoidance legislation is to deal mainly with a variety of unconventional transactions, rules and standards will also directly affect the choice of the precise extent of the law, then the legislators in different tax situations, if the law to determine the optimal level of precision? Does current corporate income tax law on anti-corporate tax avoidance (the "Special Tax Adjustments") meets the best standards? In addition, the legislators on the precise extent of the law will also affect the choice of anti-avoidance tax authorities of tax law enforcement and corporate tax compliance options, then the uncertainty in determining the law and legal conditions, how the tax authorities were to choose the best anti-avoidance law enforcement strategy? How the tax business tax compliance was to consider the optimal level? Tax agents will affect the tax authorities to comply with choice? These basic questions should be worth to pay attention to tax theory and research circles.This paper is an attempt to analyze and answer these questions. According to law-making and operation of the logical order, from the three-part article to examine the anti-avoidance legislation, respectively, the optimal choice of degree of precision, accuracy of the legal effect of the anti-avoidance law enforcement and legal accuracy of the impact of corporate tax compliance. Specifically include the following:The first chapter focuses on the anti-corporate tax avoidance legislation in the form and content of the optimal choice. This chapter begins from Kaplow (1992) on the standard selection rules and began to discuss the general model to analyze the cost differences between different forms of legislation, specifically including the development costs, enforcement costs and legal compliance costs. However, the article does not agree with Kaplow’s conclusion that legislation and legal content can be separated from the judge, as the anti-avoidance legislation that focuses on unconventional form of transaction, so the anti-avoidance legislation on rules and standards directly affect the choice of the accuracy of legal content. Legislators should take full account of the law applicable to the frequency, the sensitivity of the law, the legal costs of coordination, law enforcement and the law applicable to the professional level of complexity of environmental laws and other factors on the different degree of precision the impact of legislation to make the best choice. China’s anti-corporate tax law development process is also broadly in line with this logic. Finally, this chapter also briefly describes the recent behavior of the expansion of the theory of Law and Economics Research.Chapter II analyzes the legal accuracy of the impact of anti-avoidance law enforcement. Anti-avoidance tax authorities are in control of law enforcement information, based on the business tax, according to the law to determine the corporate tax liability, so to determine the extent of the law enforcement directly affects the efficiency of anti-avoidance. The article first analyzes the tax authorities to obtain tax information on the two business models, namely,"police patrol-type"(police patrol) and the "fire alarm type"(fire alarm). Two models have their own conditions of application and scope of information so important to the tax authorities should be based on the extent and cost of different surveys, the joint use of two modes. Tax information in solving business problems, this chapter focuses on the tax authorities in determining the legal conditions and uncertain legal conditions, the optimum anti-avoidance law enforcement strategies, and compare the different institutional arrangements of social welfare. Specifically, if the law is clear, whether it is fault liability or strict liability, back tax mechanisms are an effective deterrent to tax avoidance can be achieved, but the higher cost of fault liability of law enforcement. But if the law is not clear, because the tax authorities all tax avoidance cannot be seized, so the optimal tax penalties should be punitive punishment mechanism, and in general superior to strict liability fault liability. However, the tax mechanism will produce a punitive penalty tax is unfair, inadequate and over-deterrence, deterrence and other issues, but some of the tax liability insurance system to alleviate these problems.Chapter Ⅲ discusses the accuracy of the anti-avoidance legislation for companies to comply with the impact of choice. The traditional theory of tax compliance are discussed under the conditions determined by law to comply with the taxpayer’s choice, that the taxpayer only "tax return" less than the cost of tax avoidance cases will choose tax compliance. In order to comply with the theoretical model, based on both, the focus of the uncertain legal conditions of the taxpayers’compliance choices. And further noted that different compliance mode ("mandatory compliance" and "voluntary compliance"), the taxpayer will have a major impact on the behavior of choice. Meanwhile, the uncertain legal conditions, to reduce the taxpayer to reduce the risk of tax penalties, tax agents may be employed. However, foreign-related statistical data and empirical studies have shown that the uncertain legal conditions, tax agents may encourage taxpayers to choose a more "radical" tax avoidance arrangements that affect tax agents on tax compliance may be twofold. In the theoretical analysis, based on the best articles to improve tax compliance in China put forward relevant policy recommendations.Conclusion section is a summary of the entire study, the main conclusions of the article in general, the article also pointed out the shortcomings and merits for further research.