A Study On The Impact Of Income Distribution Of Urban Residents From Turnover Tax In China

With more than 30 years of market-oriented reform process, the continuous expansion of China's income distribution gap has become an issue of particular concern to the community. The widening gap in income distribution is one of the symptoms of market failure. Large income gap is not conducive to social stability and economic development. The regulatory function of taxation, as the most important macro regulatory means, plays an irreplaceable role in regulating personal income distribution. And the turnover tax plays a dominant position in the current tax system. In recent years, the turnover tax takes about 60% ratio of total tax revenue. In this context, discussing the turnover tax impact on the income distribution has an important theoretical and practical value.Based on this, this paper uses finance, econometrics, management theories and methods, and makes an empirical study on the impact of the turnover tax on the income distribution of urban residents. And the contents are as follows:Chapter 1:introductions. The main topics of this paper describes the background and research significance, review of research status, main ideas and methods, innovation and deficiencies of this paper.Chapter 2:Theoretical Basis. This part describes the main theoretical and empirical part of the required theoretical support for this research.Chapter 3:The status of urban residents of the income distribution. This part analysis China's urban income distribution system of internal changes and changes in the internal economic structure after reform and opening up, and make a brief analysis of current situation by using the Gini coefficient, income equality index and negative index of income.Chapter 4:The theory and empirical analysis of turnover tax adjusted income of urban residents. This part theoretically analysis what the scope of taxation and different tax rates will affect the residents of different income distribution, and how to adjust to achieve the purpose of narrowing the gap of income distribution. Then, this part firstly discusses a number of assumptions and constraints, and makes a certain description of the data, and then analysis the impact of value-added tax, business tax and consumption tax on the income distribution.Chapter 5:Suggestions section. This part makes some good suggestions primarily from the adjustment of both tax rate and tax base. Main conclusions of this paper:First, it can be found that for the distribution of income, low value-added tax rate plays a reverse role in regulating. The influence of the general rate of value-added tax is less than the business tax. Turnover tax not only offsets income tax adjustment, but also further expands the income gap. Second, it will narrow the income gap by putting the elasticity of demand for small VAT tax into the scope of tariff lines. Third, it will narrow the income gap by expanding the scope of the consumption tax and adjusting the structure of the consumption tax.