On Completing Enforcement Of Law For Tax Audit In China’s Elemental Taxation Agencies

Since the reform and opening up, China has been carrying out a number of taxreforms. The State Administration of Taxation proposed the taxation mode of " integrityof tax declaration, tax agents and tax audit ".As an important part of and also a workingemphasis in tax work, tax auditing plays an active part in maintaining the order oftaxation, promoting fair competition in socialsocialist market economy, and ensuring thestate’s tax revenue. Under the series of guidance provided by the State Administration ofTaxation and the requirements of standard procedures, China’s reformation of tax audit hasbeen implemented in an orderly manner. But due to a variety of external and internalconstrains of the elemental tax authorities, there is a lack of normality and practicality intax audit,which in fact results in a less effective reform and a lot of difficulties andobstacles in inspection and enforcement of elemental tax agencies. Therefore, it is a vitaltask for the tax audit reformers, especially the elemental tax inspection agencies, to studythe tax audit and law enforcement systematically, improve the legal system of tax audit,and realize tax audit ruled by law. It is worth our further study and exploration how toimprove the tax audit and law enforcement for elemental agencies constantly, and tosearch for the possibility of improvement based on real practice, without disobeying theState Administration’s requirement of the role of tax audit.In this paper, combining the author’s own working experience in elemental tax auditand law enforcement, the author points out the practical obstacles faced by the elementaltax audit agencies as well as the reasons causing those obstacles based on elaborating taxaudit and law enforcement, and the author also tries to provide practical solutions to thoseproblems. This paper can be divided into four parts: the first part mainly explains theconception of tax audit and law enforcement; the second part analysed the current taxaudit system and the development of tax audit history in China according to the tax systemreforms carried out since the founding of China; the third part elaborates the majorproblems existing in China’s elemental tax audit and law enforcement, and gives acomprehensive analysis of the reasons that caused the problems; the last part providessome systematical advices on China’s tax audit and law enforcement.