Research On The Sustainble Development Of Local Fiscal

The tax reform in1994got good grades on reforming tax structure, division of taxsources and tax return system.The new tax system conform to the requirements of thesocialist market system was preliminary established,and the basic framework of thefinancial system in the new was established.It promoted the transformation of economicsystem.But, the tax reform got great achievements and accumulated a lot of problems.Under this background, this thesis has deeply studied the formation of local finance and thesustainable development problem extantly: the low income accounts for fiscal revenue andhigh accounts for fiscal revenue, and out-dated administrative supervision system offinance.Masses of the domestic and foreign researches have gotten rich theoretical andempirical results. Most of researches get policy advice of financial institutional frameworkonly from finance perspective. The influence from political system factors, structuralfactors and uncertainty factors is not commonly known. This article suggests that the majorcause of local financial sustainable development is the unreasonable financial system andoverloaded local government debt. The restriction of political system is local officials inappraisal system and the personnel system of public institution. Structural factors inciudschanging demographics, the development trend of urbanization and ever-increasing socialspending. Uncertainty factors comes from the exorbitant non-tax income and policyuncertainty.Through analyzing, this article put forwards4countermeasures.First, Strengthen the consciousness of local finance.Second,establishing more formal finance, straightening out relations between centraland local governments and consummating the local tax system. Third, The specification of government debt management system. We will focus on theestablishment of index system for the debt and Financing Bills.Fourth, promoting the construction of local financial ecology.