Research On Tax System For Regulation Of Resident Income Distribution

With30years of reforming and opening up, China’s economy maintained a sustained, rapidgrowth. Income allocation system is reforming slowly, the distribution according to workbecome the center of distribution system, at the same time a variety of other modes ofdistribution coexist in the distribution system. Regulation of income distribution policy systemand the regulatory mechanisms are underlying form. Urban and rural dweller’s income levelgenerally increases, standard of living rises significantly, the quality of living improves distinctly.But at the same time, the income gap, disorder of income allocation and other issues are alsoincreasingly prominent. Urban and rural income difference, area income difference, industryincome difference, gap of inner dweller, labor income and non-labor income difference, themonopoly and non-monopoly industries income difference and so on have become a hot socialissue of common concern, which the gap between income distribution unreasonable problem.But also become the important problem that impacting social harmony and stability and thehealthy development of the national economy.Studies about income distribution problem are long-standing, but by the author the level islimited, to analyze the study of all income allocation domains comprehensive and systematic isquite difficult. Base on the existing research results, this paper selected from the service incometax reform’s angle, hoping to put forward some new countermeasures. At present, China’s serviceincome taxation is dispersed in the income tax system, such as wages and salaries, laborremuneration, writing income, belong to the service income, but different source income itemsapply to different tax rate standard. On the other hand，there are double taxation between theincome tax and some of the turnover tax items, such as VAT ’s services income and part of thebusiness tax’s services income，first pay the turnover tax, and then pay the income tax. Therefore,it is necessary to reform the service income tax system in China.In this paper, we consider the situation of our country in the transition period ofdevelopment, the system of our country characteristic, and analyze China’s current tax systemstructure in-depth. We put forward that should the same labor income levy the same in the taxsystem. The service income taxable in VAT, part of the business tax and some projects inindividual income tax should be merged, and then imposed a new service income tax, at the same time the old categories of taxes for the corresponding should be canceled.The current situation of income distribution in China is complex, the widening gap betweenthe rich and the poor effects economic and social development adversely. The governmentattaches great importance to the problem of income distribution, with emphasis on the promotionof the reform of income distribution. In recent years, the problem of income distribution hasbecome the most focus issue in the NPC and CPPCC hot topic of investigation. The governmentalso began to adopt a series of policies and measures, constantly adjusting the pattern of nationalincome allocation, increased the strength of income allocation, advanced the reform of incomeallocation system, increased the income of urban and rural residents, improved the lives of thepeople. Therefore, finally this paper proposes the corresponding service income tax systemreform and related policy suggestions, hoping to play a role in the reform of income distribution.