Study On The Impact Of Substituting The Vat For Business Tax In Transportation Industry

The reform of substituting the VAT for Business Tax refers to that the business activities which should be originally collected business taxes in accordance with the regulations now should be collected the value-added tax, and this reform is an important part of the reform on financial system in China, and it is an important link of further broadening of the value added tax. The essence of substituting the VAT for Business Tax is to take an overall value-added tax system in the commodity and labor transfer link, and that can break the current tax system pattern that the VAT and the business tax are both paralleled exist. It helps to avoid the double taxation, and promote development of related industries, so that it can create a conducive to a tax environment that can accommodate the development and transformation of the economic. The pilot area and the pilot industry continues to expand since January1,2012when the reform of substituting the VAT for Business Tax started to be implemented in transportation industry and six kinds of service industry in Shanghai, and up to now the scope of the pilot has extended to the "2+7" pattern in the whole country from the "1+6" pattern in Shanghai. The transportation industry is a pilot industry in the beginning of the reform, and after more than two years’pilot, it had a profound impact on transportation industry in many aspects.Taking the transportation industry as the research object and taking the listed firms of transportation industry as the research sample, this paper analyses the impact that the reform have had on transportation industry chain, identity of taxpayer, tax collection and accounting of transportation industry from the macro, meso, micro three levels, with particular emphasis on the analysis of influence on the transportation enterprise tax burden. The method that this paper used is a combination of qualitative and quantitative analysis, and also combines theoretical analysis and empirical research method. Through the analysis, the overall tax burden of transportation industry is declining, but there are also some enterprises’ tax burden have increased, its reason mainly has two aspects, one is the enterprise itself can not be appropriate for tax planning and make appropriate development strategy, making the operating cost can be deducted input tax ratio is too low, resulting in tax rise phenomenon; on the other hand is the development of China’s tax policy also exist certain problems, reasons for the existence of tax rate setting is not reasonable, the VAT deduction chain is not complete and so on, this paper analyzes and summarizes the problems of reactive transport enterprises empirical study, from two aspects of transportation enterprises and government departments put forward the improvement measures, with a view to China’s tax reform in the transportation industry implementation and puts forward some reference opinions.