Research On The Impact Of "Replacing Business Tax With Value-Added Tax" On The VAT Burden Of QJ Construction Company And Countermeasures

Over the past 40 years of reform and opening-up,China’s tax system has undergone constant changes.The dual tax system of value-added tax and business tax has broken the unification of the original tax on the circulation of goods and services.The unfair,unreasonable and imperfect fiscal and tax system has become increasingly prominent,which has been unable to meet the needs of the optimization and upgrading of China’s economic structure at this stage.On May 1,2016,the pilot scope of "business to increase" was expanded to four major industries:construction,real estate,finance and life services.VAT covered all industries,which also indicated that business tax had essentially withdrawn from the historical stage of China.In recent years,China has vigorously implemented tax reduction and fee reduction.Since May 1,2018,the state has reduced the value-added tax rate of transportation,construction and other industries from 11%to 10%.In March 2019.Premier Li Keqiang announced to reduce the value-added tax rate of 16%in manufacturing and other industries to 13%and 10%in transportation and construction industries to 9%.This tax rate was formally implemented on April 1,2019,further reducing the tax burden of market participants.Construction industry has long been the pillar industry of China’s national economy.The profit margin of construction industry is generally low,and it is very sensitive to the change of tax burden.Due to various unfavorable factors,it is difficult to deduct the tax burden.The pressure of tax burden growth after the increase of business operation is greater.QJ Construction Company,as a local medium-sized construction enterprise group,involves various types of business in the construction industry,and has been strongly impacted by the ’’business-to-business increase".Enterprises have repeatedly reflected the problem of excessive tax burden growth through different channels.This problem has not been thoroughly solved for a long time.Whether the problem can be solved directly relates to the survival of the enterprise.This paper comprehensively uses the theoretical knowledge acquired in the three-year postgraduate course,consults the relevant literature at home and abroad,combines the daily work experience and a large number of actual tax cases of construction enterprises,selects QJ Construction Company as a typical representative of the study,deeply analyses the impact of"business increase"on the tax burden of QJ Construction Company,and puts forward corresponding measures.The article consists of six chapters:The first chapter is the introduction,expounding the background and significance of the research,the literature review at home and abroad,research ideas and methods,and highlighting the research features and innovations.The second chapter defines the related concepts of "camp reform and increase",enumerates the basic theories used in the article’s tax negative influence and countermeasure analysis,and lays a theoretical foundation for the research of the thesis.The third chapter introduces the general situation of QJ construction company,the development status of the construction industry and the main policy changes of the construction industry.The fourth chapter analyzes the taxation changes of QJ construction company before and after the "competition reform",and classifies the case data,and analyzes the impact of tax burden changes on QJ construction company based on the measured results.The fifth chapter proposes a coping strategy for QJ Construction Company based on the results of data calculation and the impact.The sixth chapter is the conclusion and prospects.After summarizing the full text,it draws conclusions,points out the shortcomings of the article,and proposes future prospects.The research results show that:(1)The impact of "camp reform"on the development of QJ construction company is generally positive,which is conducive to solving the problem of double taxation and opens up a practical and feasible way to reduce the tax burden of turnover tax.(2)After the "reform of the camp",the tax burden of the simple tax calculation project of QJ Construction Company will decrease slightly.The value-added tax burden of the simple taxation project will drop slightly from 3%to 2.91%,and there will be no third-time VAT rate.Adjust the impact.(3)After the"reform of the camp",the change of the tax burden of the general taxation project of QJ Construction Company depends on the acquisition of VAT input tax.In order to achieve the goal of reducing the VAT tax burden,it is necessary to make efforts in the invoice management and continuously improve.The quality of accounting personnel and the rational use of tax planning.The main contributions of this paper are as follows:Under the background of greatly expanding the scale of VAT reduction in the country,based on the latest tax policy,the key points affecting the tax burden rise of QJ Construction Company after"bus:iness-to-increase"are found,and feasible countermeasures are put forward,which will help QJ Construction Company and construction industry adapt to the complex and changeable tax environment after"business-to-increase"as soon as possible,and will be the face of the country.The relevant departments continue to improve the tax policy of"business-to-increase"and VAT legislation in the construction industry,which provides a certain reference.