Study On Tax System Of Life Insurance Company In China

,Life insurance is a kind of personal insurance that is marked with the life of insurance as insurance object, taking death or survival of insurant as insurance accident and giving a certain insurance payment according to the contract during the insurance period. Life insurance is a very important tool with which people manage the personal risk, and also is a essential part of the system of social security. In the report of McKinsey, it says that actively developing the life insurance will help China ease the pressure on coordinated development and promote the building of a harmonious society.For a long time, the life insurance industry's tax system has troubled tax policy designers, because the uniqueness of the life insurance business and insurance accounting which establishes itself on the basis of actuarial. A country's insurance tax policy closely relates with the country's fiscal policy, monetary policy and industrial policy. And the adjustment of tax policy every time all has a considerable impact on the insurance industry.It has been nearly 15 years since last tax reform in china. As china economy's rapid development, the old tax system of life insurance industry has revealed its limitation and cannot adapt to the development of industry of life insurance. The voice of reform is rising.The paper is titled as Study On Tax Policy of Life Insurance Company In China with two main objectives:to examine the relationship between the taxes and the life insurance, and to make clear of the effect of taxes on the demand for life insurance products; to survey the theoretical frame and practical experiences of tax policy of life insurance in some typical developed countries, and present some suggestions on the modification of tax rules of life insurance industry in China. This paper I composed of preface and contents that include four parts.The first part is the impact of tax on the life insurance market. This section introduces the characteristics of the life insurance company to analyze standards between life insurance contracts and non-life insurance contract. Scientific tax policy is based on a profound understanding of life insurance company foundation Characterize. Life insurance market changes in the environment is undoubtedly the one of the reasons that life insurance tax policy changes. Life insurance market has undergone enormous changes. However, Chinese life insurance industry is still in early stages of development, market concentration is still high, these judgments provide a background to the below analysis. With the west economics perspective, this section analyzes the impact of tax policy on life insurance provision, focusing on the tax transmission mechanism. Which has laid a theoretical basis for the below analysis.The second part is the status and problems of tax system in China Life Insurance Company. Firstly, this section introduces the history of Chinese life insurance tax system. Since the resumption of domestic insurance business in 1980, the evolution of China's insurance tax system has undergone roughly six stages. Secondly, this part introduces the life insurance company two major taxes: business tax and enterprise income tax, focusing on the problem analysis, analyzing the life insurance company taxable income to find its way of affecting the amount of income tax and unreasonable point.The third part is the international comparison of the tax system in insurance companies. It looks in detail at the insurance income tax and premium tax across countries. I have summed up different characteristic indifferent countries, obtaining each enligenment from various tax systems in countries. The determination of tax base varies a lot from other companies, due to their own internal characteristics. Premium tax, in many countries, is very low or zero and the life insurance companies could have tax preferential policies at least.The fourth part is the conclution part of this paper, improving the tax system of Chinese life insurance companies. This section first proposed the principle and the evaluation criteria of adjusting the tax system in life insurance company. Then, proposing special advice for above problem, focusing on the understanding role of the tax preference.