The Analysis Of Tax Policy For Chinese Commercial Insurance

With China’s insurance industry deeply reform, the scope and the field ofinsurance service for economy society become more and more widely,the also forsocial responsibility becomes increasingly heavy,from the Sichuan earthquake inWenchuan to the Beijing Olympic Games of the the century event for china,fromcoping with the international financial crisis to participate in the medical disputemediation,from pension community investment to the new rural cooperative medicalsystem, from the agricultural insurance coverage to the environmental liabilityinsurance...... Insurance is our country’s burgeoning industry,explore the developmentway of Chinese characteristic,how to safeguard the people’s livelihood issues such asthe research result, the insurance industry be just unfolding, is using the completescientific system to improve service economy, service society global.At present, the obstacle for the imperfect tax policies of China’s insuranceindustry has become a significant problem,making the domestic insurance industry isreasonable, orderly development of tax policy to be imperative. China’s insuranceindustry tax policy does not improve performance in:First of all, the speed of free insurance approval is too slow,our country to adoptduty-free policy part of insurance, original intention is to promote the commercialinsurance business development, but in the categories and links to commercialinsurance companies brought additional tax burden, insurance approval rateacceleration or approval process optimization is worth pondering.Secondly, the tax base is broad, and the unreasonable. Will bear the burden, andbanking, securities and other financial industry tax base only to the interest income iscompared, the insurance industry is to obtain all of the premium income tax calculated,thus, the insurance industry is obviously higher tax burden. At the same time, theinsurance company profits, just deducted the income from premiums reparations andoperating expenses, and do not pay account the insurance liability reserves nature, just deducted with accordance of the corresponding specified proportion.Once again, the commercial insurance companies and marketers face heavier taxburden.the business tax rate of Commercial insurance business is5%, transportation,telecommunications and other service industry business tax rate is3%, compared withan increase of nearly70%. Insurance industry marketing is facing the double taxation.According to the China’s insurance industry in the current regulation, life insurancesalesman in the double tax burden, pay commission income of5.6%of the sales taxand the additional tax, but also in accordance with the commission income deduct acertain percentage of sales expense amount, payment of individual income tax. In fact,the marketing commission income is the insurance companies from business tax hasbeen paid premium income extracted, marketing staff only need to pay individualincome tax.In view of our country commercial insurance tax policy at present the problems,combined with foreign commercial insurance tax policy advantages, for China’scommercial insurance industry and puts forward some duty-free insurance approval,optimize the commercial insurance business tax and enterprise income tax base,reasonable arrange the commercial insurance in the tax burden on enterprises, optimizethe commercial insurance collection way optimization suggestion.