Tax Compliance Risk Management

Tax compliance risk management is a systematic process which consists of identifying,analyzing,prioritizing and dealing with tax compliance risk. The effective risk management is not focusing on the symptom of the non-compliant, but on the shaping factors of the non-compliant behaviors. So the revenue authorities would work out some more targeted and flexible programs for treatment, change the situation of coping with different kinds of non-behaviors with a single approach, and get a more powerful and efficient implementation.Although developed countries especially the members of OECD have accumulated abundant experience, there haven't been adequate discussions on the concept of tax compliance risk management in China. The research method of this thesis is literatures research, finding helpful experience from academic literatures completed by researchers from OECD, adding to it the reality of China to form some suggestions on establishing China's own tax compliance risk management system.The framework of the thesis is followed:The first chapter introduced the significance of this subject and the international background of the development of tax compliance risk management.The second chapter introduced the theory of tax compliance risk management, including the definition of tax compliance risk and the compliance risk management process.The third chapter discussed risk identifying, assessing and prioritizing.The fourth chapter concluded the tax compliance risk both in strategic level and case/operation level faced by China recently, in a way according with the way used by OECD member countries.The fifth chapter is the most important part of the thesis. At first it came up with the suggestions on creating conditions for tax compliance risk management from four different points of view, namely organizational culture, organizational framework, information technology, staffs skill; then conceived China's own tax compliance risk identifying, assessing and prioritizing system; at last combined the analysis of the current situation of taxpayer's behavior in China with the three basic tax compliance strategies to establish the model of compliant state of taxpayers in China.The originality of this thesis is: Introducing the concept of tax compliance risk management and the experience of the practice of OECD member countries, coming up with the suggestions on creating conditions for tax Compliance Risk Management, conceiving China's own tax compliance risk identifying, assessing and prioritizing system, establishing the model of compliance of taxpayers in China.