Research On The Tax Power And Its Division

Tax power is the short for the government's power of controlling tax. In recent year, tax power is mentioned quite frequently in jurisprudence and economics. That reflects people begin to pay high attention on tax power and also reflects its importance to government. In fact, lots of problem among tax law and tax system reform can be explained as the point that how to exercise for tax power efficiently. Actually research tax right and its division problem are to research the reform for the system of tax from legal and economic angle, to research the balance and division of the right and power of government. That can offer the theory foundation stone to "managing the tax in according with the law", and offer legal system guarantee for tax reform.China has reformed the tax system in 1994, the guiding ideology of the reform is "Unify tax law, fair the tax burden, simplify tax system, divide the tax power reasonably ". According to this guiding ideology, our country made a quite big adjustment for original taxation structure. From the content of adjustment, its mainly change the distribution relation of the central and local government from income contract system to partition income as the type of tax. It's emphasizing that divide as tax should also divide as levy. But at the same time, we should also see that tax power still has a lot of problem needs to solve, such as its legal system still in a low level, government exercise tax power non-standard etc. Among these problems, the division of tax power is sticking out particularly. According to the guiding ideology, how to divide the tax power reasonably is not embody obvious enough both in the entire taxation reform and the entire financial system reform which "system of tax distribution" as its major content. In the aspect of tax power division the change is quite small, just having divided the income of central and local government according to the category of taxes. It ignored the division of power between the central and local government especially the legislate power of tax. Our country is a large country, the level of economic growth and the natural condition of every place are not balanced very much, financial ability and tax source condition also have great difference. This demand central government to compose the local government certain tax power, especially the legislate power of tax. So it can make local government establish some policies of tax revenue according to local conditions and organizes financial income efficiently. This can raise local government's enthusiasm to assemble wealth accumulate wealth, and help government implement function efficiently. Local government can using the lever of tax to controls economy, so make entire national economy healthy, develop by order. From this point the division of tax power has extremely important meaning. Additionally divide the tax power appropriately will be helpful to establish the system of our country's tax law system. It's also helpful for the local government to reform the relation between tax and fee and the system of finance and taxation with system of tax distribution as major content. Nowadays, in the aspect of the tax power division, our country still uses the model in planned economic system. The local government has no legislative power of tax basically so that the local government use tax lever to adjusteconomy gets strongly restriction. The long-term vacancy that has caused local tax function cannot effective operation for local economy, also affected the national function of tax play fully.Discuss the tax power how to normalize and divide further, is not only to meet the needs of market economic development, and also is the need to establish the public financial system. At the same time it's the need to coincidence with WTO rule and standard the government behavior. So, we should regard tax power and its division as an important problem in the next step of the finance and taxation system reform of our country. Just according to above-mentioned situation, this paper discusses how to i...