Effect Research Of Income Tax Reforms

The Fifth Session of PRC Tenth National People's Congresson March 16, 2007 has passed and promulgated the "People's Republic of China Enterprise Income Tax Law" ,which marks that China's implementation of the dual-track system for more than 20 years finally has withdrawn from the historical stage, the new unified enterprise income tax law will be put into effect on January 1, 2008 .China's domestic enterprises and foreign-funded enterprises will officially end the "status" of different tax burden unequal competition of different age, and carry out fair competition at the same starting line of income taxes .First of all, this paper compares new tax laws twith the old to comprehensively understand China's enterprise income tax system and focus on the adjustment of the old and new policies to analyze the impact of differences in terms of China's new unified enterprise income tax system reform content and features.After analysis of feasibility studies, not only China's economic development, but also the development of domestic foreign-funded enterprises will benefit more from the new enterprise income tax.