Research On Legal Problems Of Business Tax Reform VAT

In the rapid process of the opening and reform, the market economies, especially the third industry made a great success. The inefficiencies of the tax system are exposed and impaired the development of economy and the improvement of economy system. On Nov16,2011, the Ministry of Finance of the PRC and the State Administration of Taxation issued the ordinance:the Pilot Programme of Replacing the Business Tax with Value-Added-Tax which scheduled the programme of replacing the Business Tax with Value-Added-Tax on the reform agenda. Under the current situation, the process of implementing the systematic tax reform programme has incurred series problems.This Paper is divided into four parts:Chapterl, introduction. This chapter primarily introduced and analyzed the research background and signification of this paper and the current situation of the China’s programmeofreplacing the Business Tax with Value-Added-Tax, made a summary of the practices of the tax replacement programme, either introduced the research thoughts, research contents and research approaches.Chapter2, the practices and its lessons of the foreign countries. This chapter analyzed the historic development and the process of the France, Germany, European Union and Indian, discussed the practices of the replacement practices in these countries and the experiences China can draw from.Chapter3, China’s current demands and main contents of the programme of replacing the Business Tax with Value-Added-Tax. This chapter analyzed the current demands according to the historical evolution and necessity of the tax replacement, and also analyzed the practices of the pilot programme pursuant to the reform plan which contained reform time and scope, the setting of the principal tax sorts and the arrangement of the transition policies.Chapter4, the problems and its legal countermeasures of the China’s programme of replacing the Business Tax with Value-Added-Tax. This chapter mainly analyzed the relationship between the Internal Revenue Service and the Local Revenue Service, the nexus of the two taxes, the benefit problems between the central. government and the local government, the problems in tax imposition and administration, some other problems need to pay attention to, discussed the difficulties of the tax reform programme and the image of tax legal system from the perspective of raising the problems-completing the legal countermeasures. The suggestions to help the legislation and the practices of China’s tax system reform proposed by author are with respect to three aspects:adjusting the relationships and allocating the interests, improving the polices and building the legal system, completing the supporting systems.