Research On Internal Control System Of The 12366 Call Center Of A Provincial Office Of Internal Revenue Service

In September 2001,“12366” was determined as the only official call number for the national taxation administration bureau by the Ministry of Industry and Information Techonology(used to be the Ministry of Information Industry).For 15 years,there are more than 70 provincial offices of SAT have opened their own 12366 hotlines which include personal service,automatic voice service,and text message service.The 12366 hotline is a significant way for the taxation administration bureau to collect imformation of taxation,public and society.Furthermore,it is also an important channel to transmit spirit of polices and documents about taxation and a fast track to solve problems on specific taxation administrative act,especially an inevitable direction for the development of taxation modernization.The 12366 call center of some provincial office of Internal Revenue Service is officially established on 29 th June,2011.It was governed by the municipal office before 25 th December,2014,which had only 20 employees and the call businesses was only 98 thousand annually.The provincial office prepared to bulid from May,2014,and officially operating on 1st January,2015.The total staff of which increased to 50 and the annual call businesses in 2015 is 253 thousand.In 2016,influenced by the plan that BT reforms to VAT,the annual call businesses of it increased to 677 thousand that is a historic high level.Unlike other goverment service call center,the 12366 call center has its specialty,for which is support by the great capacity of law,and legislation of the taxation administration bureau.The 12366 call center,also known as “the audible tax service”,covering every aspect of the tax registration,invoice processing,tax declaration,tax favour,tax certification,and even the tax investigation and administrative reconsideration.However,the internal control system of the call center is not perfect by obersiving the operational aspect,and is demanding a more mature internal control system by which the COSO framework is a significant method to promote the research.This paper aims to begin with the development process,research status and development trend in China and abroad of the COSO framework,strengthing by the theory of cybernetics and risks,analyzing the necessity of the COSO framework for the research of the internal control system and the causes of problems of the internal control system by examples for the 12366 call center.Thereby,it presented countermeasure to solve the problems of its internal control system and structuring the five systems of its control enviromment,risk assessment,control activities,information conmunication,and supervisory control,so that to complete the institution,transform the operating mechanism,standardize the management and avoid risks,furthermore to provide available reference of specific examples and experiences for other provincial 12366 call centers,even for the nationwide goverment service call centers to choose,and perfect their own internal control systems.On September,2015,the Chinses Internal Revenue Service published “Overall Plan on 12366 Taxpayer Service Upgrade”(General Tax [2015] No.110),which aims to “Leading domestic,international first-class” and plan to create “12366” as “the important platform for tax consulting,the important position for publicizing polices,the important carrier for tax service,the important base for training stuff,and the important window for displaying image”,and it pointed out that “choose some provincial 12366 call centers to build the national centers based on regional characteristics,advantages and taxpayer concentration ratio”.Currently,Shanxi province,Chongqing,and Yunnan is positively preparing of bulid the national 12366 call center in West China.So for those provinces mentioned in this paper,they have to plan and upgrade rapidly,and to correct its disadvantages on the five aspects under the COSO framework.If it follows the process of this paper to improve and promote,its outlook will be the national call center of 12366 that may influence the Southewest China.