Research On The Tax Risk Management Of Jiangxi Local Taxation Administration

The western developed countries started to study and apply the tax risk management in the 1990 s,and so far all the member countries of OECD have applied the tax risk management.In recent years,China has developed the theory of the tax risk management in spite of its late starting.The tax risk management aims to use the limited resources to provide the highest taxpayer compliance level and afford an efficient tool for tax management.In addition to the basic rules of tax collection and the methodology of the risk management,the complete system of risk management is beneficial to taxpayer compliance and satisfaction.The taxation administrations in China successfully used the tax risk management in tax collection.Jiangxi Taxation Bureau first founded the risk control sector in 2014,and set out several documents for tax risk management,as Suggestions to Tax Risk Management,Temporary Directions on Tax Risk Management,2014-2018 Tax Risk Management Program to operate the management.After almost two years' operation,Jiangxi local taxation administrations have accumulated some experiences,and have built an intact structure and system,which creates a primary risk management mechanism.Meanwhile,the tax risk management is capable of allocating internal resources of the local taxation administrations for different kinds of taxpayers,which makes more taxpayers comply with tax laws,control tax risk beforehand and enhance the efficiency of the administrations by tax assessment,tax audit and tax inspection.The paper illustrates the concept of risk,and also explains the framework,general plan and working process,after presenting the operation of the tax risk management in Jiangxi local taxation administrations,which includes plan arrangement,data base,risk analysis,risk ranking,risk controlling and evaluation.Finally,combining theory and practice,the paper points out the defects of the tax risk management and recommends some counter measures.The old idea of tax management should be changed from taxpayer-oriented to tax risk-oriented.Professional personnel in tax risk analysis,tax risk control,tax assessment and inspection should be allocated to the tax risk management sectors.Meanwhile,the training of the knowledge and skill in tax or risk control should be carried out.As for the data base,a single standard and a variety of collecting ways should be settled.By analyzing and processing the data,which inspires the thought of data using,the data base lays the roots for tax risk management.Theplatform of Big Data should be constructed for tax risk management,which uniforms the data standard and technique,integrates tax collection system,tax related data collection agency and tax risk control system,and contains the tax feature data,tax analysis model and tax recognition index.According to the tax rank,the tax control sectors should apply different coping strategy.Then the result should be checked regularly and rechecked randomly,which helps to evaluate the tax risk management and gain effects from it.