The Financial Influence Of The Change From Business Tax To Value-added Tax On Railway Transportation Enterprise

The change from business tax to Value-added tax(VAT)is an inevitable choice under the situation that the economic restructure in our country is continuously deepening.From business tax to VAT can not only make a turnover tax more scientific and reasonable,but is strategic measures of national adjustment of industrial structure in deepening the reform of tax system and reducing tax burden.As our GNP continuously meets its new peaks,our country's economic power has been in the world forefront.The continuous development results in that the previous tax system and economic system are not in harmony.During more-than-thirty-year Reform and Opening-up,the economic progress has converged the different industries.It is necessary to change the previous tertiary industry the change from business tax to VAT for economic reform and development.The change from business tax to VAT in year 2014 made an enormous influence on railway transportation enterprises,while this paper mainly studies those on financial accounting,profit,and tax bearing,which also thoroughly analyses the financial data of the specific corporation in its first year of VAT application.Faced with the financial effects on railway transportation enterprises of this taxation transformation,the paper correspondingly proposes some solutions:establishing and perfecting financial accounting system,modernly increasing the updating investment in some old and highly energy-consuming fixed assets,gaining long-term financial state supports,and lowering VAT rate to railway transportation industry,so as to fundamentally solve the problems coming with the taxation transformation,such as higher burden of tax,less income,and lower profit.