Tax Priority Theory And Practice

The establishment of taxation priority involves how to coordinate the relations between tax law and different sorts of rights protected by other laws.In other words,why taxation enjoys repayment priority in contrast to other common debt rights? What is the repayment order between taxation rights and debt rights added with guaranteed properties? Why taxation entitlements enjoy priority in comparison with other rights protected by other public laws.As argued by some scholars,this is indeed a contradictory issue.Based on theoretical analyzing and examining of legislation practice in other countries,this paper,through standard analysis and comparative study, explores fundamental issues of taxation priority,with a focus on efficacy contradiction and coordination of taxation priority,clarifies relations between taxation law and other rights protected by other laws,and purports to provide suggestions on correct understanding and application of current laws and stipulations,which would be of great benefit to future legislative improvement of such mechanism.The whole paper consists of 4 parts in addition to introduction and conclusion.The first part interprets the system of taxation priority.This part defines taxation priority and its application extent,which introduces historical development of priority mechanism and analyzes legal regulations on taxation priority in other countries.To clarify the nature of taxation priority,it also makes an analysis of two different views which are property priority and debt priority respectively.It argues that in taxation priority is similar to guaranteed property in nature;meanwhile,it has its own unique characters.The second part,from the perspectives of jurisprudence,finance and economics,explains the theoretical basis of public welfare and risks for the establishment of taxation priority.According to the idea of public welfare, taxation is a kind of public interests which congregate from private interests and finally subject to private interests.In this sense,taxation is superior to the private interests of taxpayers as long as there is taxpaying obligation.Meanwhile,risks theory argues that in the issue of credit rights of taxation,the power of taxation office on behalf of a state is greatly limited and regulated,of which the risks of repayment failure is notably increased when compared to credit rights of private law.Therefore,repayment priority given to taxation is an effort to achieve actual equality between credit rights of taxation and that of private law.The third part,as the core of this paper,discusses efficacy conflicts and coordination of taxation priority.Firstly,it is necessary to establish the sequence principles of priority,namely,the principles of legal priority grade,the principles of absolute priority to expenses of common benefits,the principles of proportional repayment,the principles of time sequence and the principles of superiority of ordinary priority to special priority.The setup of such principle is believed to be the prerequisite for solving efficacy conflicts of taxation priority. Secondly,this part observes relations between taxation priorities,between taxation priority and other taxation systems,between taxation priority and guaranteed credit rights,between taxation priority and civil priority,offer some related conclusion aimed at solving efficacy conflicts between taxation priority and other entitlements both in theory and practice.The fourth part examines the exercise of taxation priority,including the conditions,modes and methods of its application.To be specific,the entitled subject of taxation priority,in accordance with the content and extent of taxation priority,takes some actions to realize its rights and interests under certain conditions.Besides,the realization mode should be closely related to taxation mode and the method of exercise should strictly follow administrative law.