China's Social Security Tax System Under The Socialist Market Economy

A sound social security system is an important aspect of building a harmonious society.The chosen mode of financing is essential. China's current social security fund is mainly on social security fees to raise money.lt exists many unfair and inefficient questions of low-level unity, small coverage, high cost and low efficiency of collection and management, huge shortfall fund, personal empty accounts, huge stealth debt. This collecting model of social security fund is difficult to resolve by the pay system is now close to the part of the accumulated system arising in the process of transforming huge pension payment problems, It cannot resolve the question from the low position of the tax department. It cannot resolve the low valid collection and management from the suppress of coercive measures. China should change the social security collecting system from fees to taxes. We should establish the new security collecting system to improve the social security system,alleviating the shortage of funds pressure and promote the harmonious development of the society.This paper consists of four parts, first introduce the economic theory relate to social security tax,and welfare economic theory is the focus. On the second part,there are four types of classic collecting models: mainly Germany, Britain, the United States and Chile. Then the dissertation give a comparative analysis of the four types and give a conclusion that an ideal model for China is the project model like Germany. The third part include the analysis of the social security tax'necessarity, feasibility and the economic analysis of the social security tax'fairness and efficiency. The fourth part is based on the relationships between the social security tax and the enterprise income tax and the personal income tax It gives a specific design of the China's social security system, including taxpayers, tax basis, items and the rate.