China's Non-win (camp) Profit Organization Tax Incentives

As the nucleus in the second revival of Civil Society, the NPO (Non-profit Organization) which run neck and neck with government and market form an independence sector since the late 2000s. It has played an unreplaceable role in solving the problem of"government failure"and"contract failure", balancing the power hegemony of state and the hegemony of market. With the process of marketization and government reformation in China, the importance of the NPO in social administration and the cultivation of civic culture become more and more obvious, and our government are taking the positive action to promote the good development of the NPO. However, the construction of the non-profit sector is always correlative with market economy, limited government and principle of nomocracy. But based on the characteristics of transition what our social transformation include, the reformation of society always lag behind the reformation of economy, and the limit of state power still lack definite determination temporarily. These are all the disadvantages in the development of the NPO in China, and the perfection of institution will be the key of solving these problems in the society which is ruled by law. As an important part of institutional construction, revenue is the main measure by the economic lever to reduce the operation cost of the NPO, standardize the daily supervision of the NPO, and encourage the social donation. But the tax policy of the NPO in our country is short of pertinency and systematism, and also has many improper provisions. So we should make a comprehensive and deep research on this issue.Tax preference is the basic principle of the tax policy on the NPO, and exerting the inspiring effect of tax reduction is the final purpose of the tax policy on the NPO. On this foundation, the paper will analyze the tax policy of the NPO in China from the angle of construction on tax inspiration mechanism. I divide the tax inspiration mechanism into two parts: one is the approach of substantial law, the other is the approach of procedural law. The approach of substantial law is composed of tax...