The Research Of Social Security Tax Collection

One of the hottest issues in the modern society is the improvement and reformation of our social security system. Although the social security system has already been built up in China for several decades, the current economic situation, large population and huge income difference between cities and towns generate the shortage of funds in social security system and financing mechanism still need to be improved. Moreover, it leads to the imbalanced social benefit throughout the country. In some of the developed coastal areas, people can have more benefits than the poor areas; the workers who are working in the companies that have different forms of ownerships are having different social benefits as well. This imbalance will restrict the construction of harmonious society seriously, even can destroy the social solidarity and stability. In order to explore a new financing mechanism for raising sufficient social security fund, which is called social security tax, in this paper, the author used normative analysis and empirical analysis methods to discuss the meaning of collecting the social security tax. Besides, the author also used the successful experiences in developed countries for reference and combined them to the situation of our society. On the other hand, the author discussed the advantages and disadvantages for collecting the social security tax in depth as well. Finally, the author concluded that the current situation in China suits for collecting the social security tax and stated his own ideas about the importance of the relevant policies and regulations'establishment.This paper contains five chapters. Chapter 1 introduces the research background, the meaning of choosing this topic, relevant literature review, research methodology, research framework and innovations, respectively. Chapter 2 illustrates the social security system and its related conceptions. Moreover, the author defined the social security tax's origin, development, features and functions systematically as well. Chapter 3 combines the economic situation and the existing problems in current social security system in depth for discussion. Chapter 4 analyses whether China suits for social security tax collection or not and points that it is not only necessary for the stability of society but also important for the economic development to collect the social security tax. Chapter 5 bases on the fact of social security tax collection, demonstrates the opinions about design of taxation framework, relevant policies and regulations'establishment. In the end, the author gets the conclusion that in the current situation, no matter considering the internal social balance or acting on international convention, collection the social security tax represents the general trend.