Research On The Impact Of Dalian Wanda Cinema After The Opening Of Value Added Tax (VAT) Replaced Of Business Tax

On March 23, 2016. The ministry of finance and the state administration of taxation together issued an information named "the notice on the comprehensive opening of value added tax (VAT) pilot replaced of business tax." (hereafter referred to as the notice) "The notice" ruled that the real estate industry,construction industry,finance industry and domestic service industry of a business tax payer were all included into the pilot scope of tax reform since May 1, 2016. Thus, China ended the era of two main tax, business tax and VAT, coexistence at the same time,which improved the tax structure gradually. It means the implementation of 20-year business tax will disappear in china forever.According to the data released by Xinhua news agency on January 1, 2017. The national total box office in 2016 was 45.712 billion, which was 29.6-billion higher than the year of 2014 with an increasing ratio of 54.43%. The excellent achievement and amazing increasing rapid of box office make investors focus more on the low-risk cinemas instead of film production and distribution. Therefore, the profitability and development prospects of the film industry has attracted the attention of investors. At the same time,the tax reform of "VAT replaced of business tax" should also arouse the attention of investors. However, this new policy has been implemented for more than half a year, several research was focus on the Changes in the overall business of the cinema.Hence, we took Dalian Wanda cinema as an example, analyzed the tax burden changing before and after the new policy implementation. We analyzed the tax planning and gave some suggestion. Hope this paper would be helpful for Wanda cinema to go through the"VAT replaced of business tax" transition period successfully.In this thesis, part one introduced the background and research significance. Part two introduced some basic information and the status of the film industry. Part three compared the changing of business tax and VAT of Dalian Wanda cinema before and after the new policy carried out based on real data. In part four, the author provided some tax planning suggestion in the context of "VAT replaced of business tax" based on data analysis. Finally, part five also provided some safeguards during this transition period.Hope this thesis could provide some ideas on adjusting business structure and tax burden level,enables the enterprise to create a broader space for survival and development through balancing the tax burden under the legal premise.