Tax Policy Research On Stimulating Residents' Consumption

For a long time,investment,export and consumption are the troika for economic growth,these factors affect the speed and quality of economic growth in various degree.In the long history of development,China's economic growth is mainly driven by investment and export,especially after reform and opening up,large-scale economic construction causes the rise of investment boom,international trade is booming,high quality and low price of goods and services bring a large trade surplus.However,a lot of problemsalso accumulated with the development of economy,overheated investment makes excessive competition and overcapacityappear in high yield fields.And lead to imbalance of the industry resources,as well unreasonableindustrialstructure.The political situation in Europe isturbulent,trade protectionism rises in the United States,complex international situation have contributed to theexteriorcapital reflow.Economic growth model mainly based on investment and exports can no longer survive.As the final demand of goods and services,consumption is the core link of "production-consumption-production",it is also the fundamental driving force of economic growth and economic cycle.But for a long time,whether it is due to conservative spending habits of our resident or lack of disposable income caused by the lack of consumer strength,the contribution of consumption to economic growth has been relatively low.Expanding domestic demand,especially expanding consumer demand will be a new engine for economic growth,it is also the key to realize the sustainable development of national economy.Tax as one of the means of state macro control,it has a natural advantage in the allocation of resources,the adjustment of income,and the rational distribution of industries,it is an important tool to promote the consumption of the economy,especially the consumption of residents through the policy oriented economy.This paper based on the classical theory of consumption,discussed the mechanism of tax affect consumer spending.Then select the related data from 1994 to 2016,analyzes the present situation of our consumption on the total scale of the low contribution to GDP,as well as the difference between urban and rural residents' consumption is large.On this basis,combining with the reasons for the low consumption rate to find the lack of tax in promoting residents' consumptions.Using VAR model,find out the influence degree of the tax on consumption.So as to put forward the proposals like: optimize the structure and reduce indirect taxes,regulate the income distribution and reform personal income tax,establish social security taxes.