A Study On Taking The High-Polluting Products Into The Scope Of Excise Tax

This paper’s studying is a part based on new situation of the excise tax reform. In November 2013, the Third Plenary Session of the 18th CPC Central Committee hold in Beijing, gave the decision that take on high-polluting products into the scope of the excise tax. So a study on how to determine high-polluting products’the tax items has be born.First of all, I see many domestic and foreign literatures, and study the pollutants taxes which have the similar characteristic to our excise tax, understand their views of the reform. Secondly, focus on several policy adjustments and the 20-year implementation since the excise tax system was established, find that the excise tax system rarely involves high-polluting products, so that its function in environmental protection has been greatly weakened, and shall be adjusted. Then analyze some speeches of the leaders in finance and tax department and programmatic documents for further reform, and realize the trends of the excise tax system, which has the same requirements to "take the high-polluting products into the scope of the excise tax taxation.So in this paper the key point is the design of the excise system of the high-polluting products, the most important three questions are how to determine the tax items, the tax bases and the tax rates. To anwser these three, I use a comparative analysis in this paper, gain experience via analyzing the principles in the design, as well the tax items, tax bases and tax rates of the pollutant taxes in foreign countries, seek common ground while reserving differences, and find solutions in our country’s special situation. In details:the determination of the tax items shall be based on certain conventions and standards, so that find the "High-polluting and High-environmental-risk Products List" which is updated every year by the Ministry of Environmental Protection, and divide the products in this List into three categories which can be on the basis of the additional tax items. To achieve the tax purpose, the tax bases are set to link the pollution to the tax. For the first category, take starch sugar, aluminum fluoride, barium carbonate and caprolactam for example, and give a detailed calculation description about mixing the methods according the amount on volume and the rate on value, while the second and third categories shall be calculated according to the amount on volume method, then discuss the tax bases of tires and wooden disposable chopsticks. The tax rates shall be set the differential tax rates according the degrees of damage to the environment, and continue to use the four products mentioned above, design and measure the tax rate, then discuss the tax rates of batteries, pesticides and tires for details.Finally, I give several discussions in the aspects of the tax collection and administration, and hold the views that the tax revenue of the high-polluting products would be retained in local government, earmarked in eliminating and controlling the pollution. Then give a simple analysis in some questions like transform administrative fees into taxes, and make a summary and outlook.