Optimize China's Tax Structure

This paper proposed a new idea to research tax structure. From the angle of main taxpayer in a tax system, the tax system can be divided into three modes: the mode of enterprises as main taxpayer, the mode of persons as main taxpayer and the mode of enterprises together with persons as main taxpayer. This paper proved the ideal tax system mode from three aspects: the analysis from tax principles theory, the analysis from real tax data and the analysis from the effect to economy and society. The conclusion is that the mode of enterprises together with persons as main taxpayer is the ideal tax system mode.The content of this paper consists of five parts: Firstly, it introduced the background, the innovation and the meaning of this research. Secondly, it reviewed the basic theory of optimize the tax structure. On this basis, it proposed the idea of classifying tax system mode from the angle of main taxpayer and analyzed the ideal tax system from the tax principles of fairness and efficiency. Thirdly, it analyzed the effect to economy and society of different modes, and concluded the same result with the analysis of theory. In the next, it used correlative tax data to research the present tax system mode of China and other countries. Then concluded the ideal tax system should be the mode of enterprises together with persons as main taxpayer through the international comparison. In this part, it also researched the tax burden of China's enterprises and persons with an index called Tax Burden of Pure Income. Lastly, it proposed the countermeasures and advices to optimize the tax system of China.This paper proposed the view to observe the tax system structure based on the main taxpayer, and then explored the ideal tax model. It innovated the tax theory.