Research And Improvement Of The Income Tax System About"Non-resident Enterprise Transferring The Equity"

Accompanied by reform and opening up, foreign investment is getting popular. Meanwhile, the income tax problem about the foreign-invested enterprise transferring the equity has attracted attention of academia and practice. The study on this issue has been following closely the changes of the tax policy. Based on the study in the past, I expound the income tax system about "Non-resident enterprise transferring the equity" from the perspectives of domestic and international tax law, find the problems and difficulties, and put forward the suggestions at last.This paper is divided into five parts. The first part is the literature review. In the literature, scholars investigated little about the indirect transfer of the equity, and some scholars did not propose the solutions of the problems. However, there’s no doubt that the Chinese and foreign monographs provide me with guidance and help.The second part is mainly to present the history of the income tax system about"Non-resident enterprise transferring the equity" from the perspective of domestic tax law. First, I introduce the income tax system before2008. Then, I define "Non-resident enterprise transferring the equity" and introduce the income tax system after2008. At last, I put forward that the processing of retained earnings in the current tax system and indirect equity transfer being taxed have a great significanceThe third part is mainly to expound "How does the international community deal with the income tax about "Non-resident enterprise transferring the equity" from the perspective of international tax law. First, I analyze the reason of the coordination. Secondly, I expound the processing methods of the international models—<OECD MODEL> and<UN MODEL>. Finally, I introduce the situation in our country.The fourth part is mainly to present the problems and difficulties. In the aspect of the policy, the rules of the agent, the cost price, the transfer date and the exchange are not clear. In the aspect of the administration, there are many difficulties such as ulterior transfer, unreasonable price, reasonable business purpose and so on. In the aspect of the international coordination, the difficulties are transferring the equity of the real estate company and the abuse of tax treaty.The fifth part is mainly to put forward suggestions. In the aspect of the policy, the rules need to be further clearly presented. In the aspect of the administration, establish the reporting system which invested enterprise is the focus, establish the platform for sharing the information, introduce the third-party evaluation, and so on. In the aspect of the international coordination, keep on the international cooperation, perfect the rules and so on.In this paper, I use some writing techniques such as the historical analysis, comparative analysis, case analysis and multidisciplinary analysis. Meanwhile, there are two innovation points:(1) the agent;(2) establish the reporting system which invested enterprise is the focus. My attitude is serious, however, my knowledge and thought is limited. So I hope teachers can guide me.