The Issue Of Reunification Of China's Corporate Income Tax

After entering the new period of reform and opening, to attract and utilizeforeign investment and speed up the development of economy, preferential taxpolicies have been adopted for various foreign-invested enterprises in China.Although the big change of tax policies in 1994 has strengthened the unification oftaxation system, to better attract and utilize more foreign investment, we still maintaintwo different taxation systems for domestic and foreign-invested enterprises. With theglobalization of economy and the establishment and improvement of market economysystem in China, the investment environment for foreign-invested enterprises in Chinahas been greatly improved, whose business conditions and economic strength havebeen in the same position as the domestic enterprises, and even better than thedomestic enterprises. Under such situation, if the preferential taxation system forforeign investors is still retained, it is not good for the fair competition anddevelopment of the domestic and foreign-invested enterprises, and is disadvantageousfor the fairness and efficiency of taxation. Therefore to further unify and improve theenterprise income tax is a prominent problem to be solved urgently in the currentperiod. With this background, with reference to the related articles, according to theactual conditions in China, with reference to the international experience, and fromdifferent levels, this article has made a comprehensive and systematic analysis anddemonstration on the unification and improvement of the current enterprise incometax in China, by combining the theory with practice.This article is composed of 4 parts:1, Demonstrate the theory basis and various tax functions of the imposition of enterprise income tax from the theory, and from the practice, illustrate the changes and roles of income tax for domestic and foreign-invested enterprises in different backgrounds in China.2, Based on the actual situation in China, comprehensively analyze the main problems existed in the current enterprise income taxation system. Demonstrate that...