China Tax Revenue Continued Rapid Growth Of

After the1994tax reform, china’s tax revenue has nearly20years of sustainedhigh growth rate, during this period the tax revenue rate is generally between15%-25%. According to the general principles of economics, economic decisions tax, taxhas counterproductive of economic. Therefore, in the case of economic and socialunrest, no significant changes in the tax system, the Taxation should keep pace withthe economic. Traces the history of tax development in China and the world, Chinesetax long-term sustained rapid growth phenomenon, not only in China, but also is aspecial case in the world. Causes of this special case, it is difficult to use generaleconomic laws to explain.This paper will mainly focus on the main line of Chinese tax growth, examiningthe relationship between tax revenue and economic development. On this basis,mainly focus on the following problems: the origin of the Chinese tax on the sustainedrapid growth of tax revenue, the sustained rapid growth of China’s macro tax burdenimpact and in the future how to maintain sustained and stable growth of China taxrevenue.The conclusion of this study:1、Sustained and rapid growth of the Chinese tax reform of the tax system in1994caused by the following three aspects: First, the tax decentralization factors. Thetax decentralization contractual nature of the revenue-sharing incentives to promotethe improvement of the collection and management level; Second, the indirect taxsystem amplification. The reform of the tax system designed to enlarge the ability topay; Third, growth dividend factors. Release specific technology imitation bonus,demographic dividend, industry and city of dividend.2、Tax revenue of China sustained rapid growth has made China macro taxburden is too high, from the macro tax burden optimization. First, based on theinternational comparison, although China’s dominant tax burden is lower than that ofdeveloped countries and developing countries, but considering China’s stealth taxburden as well as people enjoy social welfare and other aspects, China has high taxburden, tax increase aggravate the burden of enterprises and residents. Second, basedon Barrow model estimates, China’s current optimal macro tax burden is19.73. Butthe macro tax burden in China in2006has reached19%, and in subsequent yearsmore than the optimal level of macro tax burden.3、To predict the future of tax growth conditions. This paper thinks taxescontinued rapid growth difficult to continue the future, because face the followingchallenges: control, tax revenue collection factor is not adapt to the requirements of economic and social development, revenue growth has slowed, the reform of fiscalmanagement system lag. Therefore, the next step is to take measures to deal withthese challenges, avoid tax backwards, making China’s tax sustainable growth.