A Study On The Function Orientation And Taxation System Reformation Of Individual Income Tax

With the implementation of the policy of reforms and opening to the world and the development of the socialistic market economy, the people' s income has been increasing, as well as the gap of social distribution widening increasingly, our Individual Income Tax System can' t have already suited nowadays society development demand. In virtue of historic, economic and policy various factors, there is still a long way to go in fully developing the due function of Individual Income Tax, which indicates that it is urgent to improve and perfect China' s current Individual Income Tax System.In the first place, the thesis analyzes the insufficiency of current Individual Income Tax System in Tax Function and Taxation Design. Based on definitude of the function location of Individual Income Tax and learning from the foreign country and international norms, the author redesign for the taxation essential factor of Individual Income Tax. The revenue function of the Individual Income Tax can be enhanced, through of building the "Classify-Integration" Mode of Individual Income Tax, enlarging the levy scope and improving levy management. As the same time, the distribution function of Individual Income Tax can be developed effectively, through of raising the standard of the exemption, adjusting the marginal tax rates and the tax rates structure, etc. The thesis analysis the general situation of the Individual Income Tax of Hang Yang and function orientation and the problems within the tax laws and the tax levy management practices and puts forward some suggestions in reforming and improving our Individual Income Tax system.This thesis is composed of five chapters: Chapter 1 states the research aim, present situation, development tendency and research method, types and uses. Chapter 2 introduces the development history, advantage and disadvantage of the Individual Income Tax. Chapter 3 mainly states history, function orientation and present situation and problems of our Individual Income Tax. Chapter 4 compares and analyzes the examples of the Individual Income Tax function orientation and system reform in some countries. It draws the experience of our Individual Income Tax system reformation. Chapter 5 puts forward comprehensive suggestions of our reform on the system of taxation, imposition and administration. These opinions are not only based on practice situation in our country, but also based on successful experience in other countries. Chapter 6 mainly expatiates on the effect of Individual Income Tax in China by running of the Individual Income Tax system of Heng Yang and questions about function orientation, we have to consummate our Individual Income Tax including the system and practice.