The Research On The Chinese Enterprise Annuity Preferential Tax Mode Based On The EET Tax System

"Welfare crisis" appear in most countries of the world from the1970s. Veryserious financial crisis have arisen in public pension system, mainly for the basicpension insurance fund account deficit expanding and accounts make ends meet. Inthis context, in order to make the retirement life of employees will be protected, manycountries are actively seeking the ways to resolve and reform. Also they support anddevelopment of pension second pillar, so enterprise annuity is one of the valid methods.The development of enterprise annuity will become one of the inevitable choice to easenational endowment pressure in the future.Enterprise annuity is an institution which establish by the enterprises according totheir own economic situation and economic strength, also under the guidance ofnational policy in addition to the basic old-age insurance system enforced by theGovernment. Its purpose is to provide retirement income security for enterpriseemployees to a certain degree. However, the development of enterprise annuity inChinese enterprises is very slow. The author believes that the main reason is the lack ofpreferential tax policies for enterprise annuity in China. So the author selectspreferential tax mode for Chinese enterprise annuity to analysis and research based onEET Tax System, in order to redound to develop the enterprise annuity in China betterand faster.This article begins with the introduction which dwells on the background andsignificance of selecting the topic, then expounds enterprise annuity and relatedpreferential tax policies, introduces international comparison and experience of thepreferential tax policies for enterprise annuity; then depicts the development status ofenterprise annuity in China, also the preferential tax policies for enterprise annuity ofChinese enterprises and the main problems are analyzed and discussed; then uses anactuarial model to estimate the cost while Chinese preferential tax policies forenterprise annuity adopt EET mode and the cost also means tax losses. Then the authorcombines benefit analysis of preferential tax policies for enterprise annuity, in order todemonstrate the feasibility of EET mode in our country; the final fifth chapter summarizes the principle of choosing preferential tax policies for enterprise annuity inChina. The research designs Chinese EET mode from payment stage, investmentincome stage and receive stage three aspects. At last, the author gives relevant policyrecommendations for developing enterprise annuity.