The Way To Equalize The Tax Burden Between The Demotic And Foreign Enterprise

The thesis is studying on finding the right way to equalize the tax burden between the demotic and foreign enterprise.After we opened the door, in order to attract the foreign capital, the government has given a lot of revenue preference to the foreign enterprise. The demotic enterprise's tax burden has been higher than the foreign enterprise. This is contravening with the equality principle.In our country there are two kind of enterprise income tax system that has many differences. Which cause unfair tax burden to the demotic and foreign enterprise, the turnover tax burden also different. That the foreign enterprise needs not to pay the city maintenance and construction tax and education surcharge also decreases the foreign enterprise's tax burden. That the demotic and foreign enterprise applied to different tax such as urban real estate tax, house property tax and land tax, also lead to the unfair tax burden.Because the demotic enterprise pay more tax than the foreign enterprise, they have difficulty in winning the competition with the foreign enterprise, the unfair tax burden also decrease the government's tax income. Two kind of enterprise burdening different tax have contrivance with the equality principle of tax and the national treatment principle of tax. It is necessary that reform our tax system in order to equalize the tax burden.In order to equalize the tax burden, our government must infancy the two enterprise income tax systems; reform the turnover tax system; expropriate the city maintenance and construction tax and education surcharge to foreign enterprise; straighten out the tax preference in the development zone; found a investment circumstance in which the enterprise can develop equality.