The Study On The Tax Incentives Of Charitable Giving In The Perspective Of Comparison Between China And America

Since the Reform and Opening,the economic and social development in our country has been out of poverty to the world's second largest economy country.As President Xi Jinping said when reform is not completed,and only when performed,now people's demand has gone to a higher level of the need for better public services.With the process of economic prosperity,many problems like the wealth gap problem emerged.To enhance the level of demand and narrow the gap between the rich and the poor under the background of large environment,charitable giving has rising in recent years.Unlike simple charity,charitable giving means donations will be distributed to people in need,to improve the living standards of recipients,even ultimately improve the public welfare benefit society as a whole.Thanks to the booming of philanthropy,the government can better achieve their own functions,and social justice issues can be solved.Not only may people donate for their own purpose,but also they may be affected by external factors,such as the tax incentives about charitable giving.China government's tax policy has the items about charitable giving,income tax act and other acts included.Besides,Charities Act promulgated in 2016 has further provision.But the philanthropy in China has a short history of development and lack of experience for our philanthropy become rising from 2008.Philanthropy in China still is at the initial stage of perfection.Considered the tax incentives,current system can't deal with the complex reality of rapid changes.In contrast,look at the international community,the United.States,as the world's leader in philanthropy,has a long history of charity and charity has already become a stable social atmosphere.Besides their own religious motivation factors,the massive US preferential tax policies supporting system is also an important factor.In terms of the management,tax policy and strict supervision of execution,there are still a big gap between China and the US.China should further deepen reform with the experience of the US,to accelerate development and progress of philanthropy,benefit all.