Research On Border Tax Adjustments

The environmental tax is one of the measures that many countries have adopted to achieve their environmental goal of sustainable development. Since the goals of the countries are diversiform, the environmental tax measures are different as well, some of them even will bring the discrimination and breakage to the free trade in goods. And the Border Tax Adjustments system has emerged as the times require, it is of great significance to the harmonization between the free trade and the environmental protection goals. This paper is composed of three chapters:Chapter One: The Implication and Classification of Environmental Taxes and BTA.As the definition used in OECD, BTA is a fiscal measure that has been adopted in accordance with destination principle. BTA are used to exempt the taxes that have been imposed on the imported goods by the country of exportation overall or partly, and with the BTA system a country of importation can impose a internal tax on the imports which are to sell to the domestic consumers with the rate no higher than the tax imposed on the domestic like products as well. The BTA can be ascended till the 18th century, and it has two essential categories: (1) Taxes on products; (2) Taxes on inputs. About this classification, the author pays a great attention on the analysis that the BTA on process taxes are allowed under the GATT or not, and comes to the conclusion that the tax is in accordance with GATT/WTO rules. Then the author has demonstrated that taxes on embodied inputs(BTA) are not prior stage cumulative indirect taxes which are forbidden by the GATT rules. Chapter Two: The Important Function of BTAThe adoption of BTA is of great significance for environmental protection. But when it comes to the negative effect, it can aggravate the burdens of the...