The Research On Chinese And Japanese Local Taxation System Comparison

Since the reform of tax division system in 1994, China has gradually established the local taxation system. But there are still some issues in the tax division system need to be taken into account because of China centralism which makes the reform to preserve the existed benefits. These issues in the local taxation system have not yet been resolved and further more they have become the obstruct to local economic growth, further local taxation system reform, and establishing canonical tax division system. In this instance, how to perfect the local taxation system becomes a hotspot.As one of the nature market economy countries, Japan has established binary tax system since"Second World War". So it has much experience to be worthy for us to draw lessons .This paper discusses how to perfect the local taxation system in four aspects: the perfecting of local revenue system,the structure of local taxation system,the division of tax power,the local taxation collection. In each part, the discussion begins with the sum up of the status and the problems of our local taxation system; then it analyses comparatively Japanese local taxation system in an aim to study and improve Chinese local taxation system. At last, on the basis of standard analysis, in combing Japanese experience with Chinese practice, it carried out structure to reform and improve the local taxation system.