Research On Balanced Division Of The Legislative Power Of Tax In China

The legislative power of tax is an important part of state legislative power, the spokesman of state power or state agency who rely on political power exerts it according as legal authority and legal proceeding, the power can establish, authorize, amend, supplement and abolish tax law and regulation. The division of the legislative power of tax includes two modes, lateral division and vertical division. In lateral division, the elementary law of significant kinds of taxes adopts authorized legislation in China, it goes against the taxation principle of legality. The redundant tax authorized legislation result in administrative organ to be the principal part of tax legislation, and ulteriorly result in a series of negative effect. Besides, the existent tax authorized legislation has a lot of shortcomings in academic and practice aspect, so it disobeys the elementary request and authorization objective of tax authorized legislation. In vertical division, The establishment way of division of the legislative power of tax between central government and local authority goes against the principle of rule by law and the taxation principle of legality. In addition, the legislative power of tax was concentrated excessively in central government, local authority has a little negligible power, the existent legislative power of tax of local authority exists in name only. It is obvious that our actuality of the division of the legislative power of tax is in a unbalance way.It is necessary to study the reason of our unbalance way of the division of the legislative power of tax. Firstly, we creatively used the method of game thory, the game of the division of the legislative power of tax between law-making organ and administrative organ is a incomplete information dynamic game in non-cooperative games , and the game of the division of the legislative power of tax between central government and local authority is a complete information dynamic game in non-cooperative games. The equilibrium concept that be accordant to the two game are the Perfect Bayesian Nash Equilibrium and the Subgame Perfect Nash Equilibrium. Secondly, we used the mothed of comparation, there are three modes of the division of the legislative power of tax, America, Japan and China. The contrast over the three countries has a especial meaning for improving our unbalance way. In a word, the reasons of our unbalance way of the division of the legislative power of tax are three points, the absence of the taxation principle of legality, the expand of the tax administrative power, the puzzledom betweet centralization and division. Ultimately, there are five legal suggestions for building our balance division of the legislative power of tax, abiding by the taxation principle of legality strictly; rebuilding the ideal of the division of the legislative power of tax; establishing the taxation basic law; rebuilding the tax authorized legislation and increasing the legislative power of tax of local authority properly.