Analysis Of The Factors Affecting And Tax System Optimization Of China

The scheme and implementation regulations for imposing housing property taxes issued by Chongqing and Shanghai successively during January,2011kicked off the reform for housing property taxes of our country. Ever since September15th,1986, the State Council has issued the Interim Regulations of the People’s Republic of China for Housing Property Taxes formally. With skyrocketing of the housing price, the government has become excessively dependent on the land transfer fees. As a kind of property tax, the housing property tax plays a positive and important role for optimizing the tax system structure, controlling the housing price, regulating the income distribution and providing stable financial income for local government. Therefore, reform and thorough promotion of the housing property tax will have a deep impact on stabilizing the local economic development and promoting social harmony in the future.On the basis of clarifying differences and connections between related concepts, defining the content of the research object, making clear the relationship of overall property tax levy with house price and land grant, through the Chongqing and Shanghai property tax pilot program involving aspects of the tax system contrast, combining with the questionnaire, using qualitative methods of analysis, we summed up factors that affect future reform of property tax in China,and gave these affecting factors summarization and classification; and then used ways, such as expert advice and analytic hierarchy process, with MATLAB mathematical tool, giving ranking and analysis for influencing factors of five kinds of property tax reform, we have found two factors that have important implications for house tax reform--systems and technical conditions of tax policies. As the two factors are mainly related to taxation system level, therefore, the current property tax reform focuses on the level of the tax system, so as to optimize the design. Finally, according to the last three factors in the ranking--social conditions, laws, regulations and market conditions, we have raised rational proposals at basic level.