The Corporate Income Tax Law In The Context Of The Principle Of Imposition Relevant To Capacity

Corporate income tax is a type of tax which the authority imposes corporations on the managerial income and others. It is a kind of direct tax, and functions well to regulate and maintain fairness. Since the new China is established for 60 years, the institution of corporate income tax undergoes a hard way, but the basic legal theory of that has not been paid adequate attention to.The basic theory of corporate income tax law is the principle of imposition relevant to capacity. The principle means that, the purpose of imposition is not for the formal type of equality, but for the substantial type of equality via imposing according to the actual capacity of taxpayers to make everyone be the proper place. The principle of imposition relevant to capacity should be not only an idea, but also a basic principle of legislation of tax law.To make it a basic principle of legislation of tax law, we should formulate a tax law of fairness to satisfy the requirement of the principle of imposition relevant to capacity at first. And then we should enforce the law on the basis of excellent legislation to make the status of rule of law. To some extent, the new corporate income tax law and the regulations in 2008 express the spirit of the principle of imposition relevant to capacity, but we also have more to do. On the basis of Tax Optimization, the article proposes some suggestions to perfect the law from aspects of equality of legislation, moderate burden of tax, substantial taxation, complying with the principle of imposition relevant to capacity.