Improvement And Reform Of The Expense Deduction For Personal Income Tax

After three decades of development, the personal income tax has changed from a small tax to the second biggest tax. It has become one of the most important taxes in China. The deduction standard for personal income tax is the foundation of income adjustment. It plays a significant role in the adjustment of income distribution in our country. However, with the rapid development of economy, the present deduction standard has obvious lag, and it cannot adapt to the different burden abilities of taxpayers. As a result, the government should develop scientific methods, and make further improvement of the deduction standard for personal income tax, so that the fairness of tax revenue can come true.In order to make a better study on the appropriate deduction standard for personal income tax, this article bases on Chinese national condition, takes America, Japan and South Korea as samples to explore the experience of deduction standard in these countries. And then thesis gets some enlightenment on our country’s deduction standard.Thesis divided into five parts to research the deduction standard. The first part is an introduction. According to the introduction of background, I carefully organize the theoretical research achievements of domestic and foreign scholars about deduction standard and explain the research content and frame of this article to grasp the general direction. The second part states the related theories about deduction standard for personal income tax. The third part introduces the international situation, and this part also provides guidance for the improvement of deduction standard in our country. In the next part, it introduces and analyzes the present situation of China, then elaborate the problem of our country’s deduction standard. The last part, I strive to give some methods and suggestions for the improvement of it.From the perspective of public management, this article combines the tax fair theory with human rights theory, uses the statistical data and empirical approaches to analyze the present situation and problems of the deduction standard in our country. At the same time, on the basis of experience of foreign countries, This studies the ways to improve our country’s standard with scientific methods, in order to achieve the fairness of tax revenue, and promote the scientific development of our tax system.