On Tax Basis Is Obviously Low And Without Justifiable Reason

The tax calculation basis is obviously low and there is no valid reason.This is one of the circumstances of the approved taxation system stipulated in Article 35 of the "Tax Collection Management Law" of China.The purpose of the approved taxation system is to regulate the taxpayer's failure to perform its tax assistance obligations,to protect the state's tax collection in full,and to ensure that the taxpayer's tax burden is fair.Article 35 of the "Tax Collection Management Law" enumerates six types of situations in which tax authorities have the power to verify and collect taxes.As for the other five situations of the approved taxation system,the applicable conditions are clear,easy to operate,and there are fewer disputes in tax practice.However,in the case of "the tax base is obviously low and there is no valid reason",due to the vague legislative semantics,the application of tax practice is confusing,and it has become a prominent focus of tax disputes in the approved taxation system.This type of controversy mainly revolves around the apparently low tax bases and how to judge justified grounds.In view of the fact that there is no unified search tool for dispute cases in tax collection and management,this article chooses to start with the judicial ruling case and look into the case.By examining the judicial ruling cases where the tax calculation basis is obviously low and there is no valid reason,this paper studies and analyzes the application of such cases in judicial ruling.Facing problems,explore the improvement of future tax collection and management legislation.In addition to the introduction and conclusion,this article is divided into four parts.The first part is the theoretical analysis of tax law,which is based on tax bases which are obviously low and without justification.On the basis of the interpretation of the article,the legitimacy of the provision is clarified from the perspective of the principle of tax fairness.However,in view of the shortcomings of the provisions of the legislation,the semantics of the provisions may be ambiguous,which may cause the tax authorities to abuse their powers in tax practice in violation of the legal principle of taxation,which may lead to the failure to realize the principle of fair taxation and damage the rights of taxpayers.This is where the "tax base is obviously low and there is no valid reason" to review the taxation situation.The second part is the judicial judgment case which is obviously low in taxation basis and without justification.A search of two legal databases,namely,“Peking University magic weapon” and “no litigation”,identified 17 judicial decisions related to the research in this paper.According to the focus of the dispute,they were divided into “obviously low tax bases” and “justifiable reasons”.There are three types of “classes” and “increasingly low tax bases and legitimate reasons”.In the analysis below,such case studies are included in the two different types of situations described above based on the needs of the discussion,and will not be discussed separately.The third part is the investigation and analysis of the judicial judgment based on the obvious low tax basis.This part starts with examples of judicial rulings.Through investigation,it is found that there are diversified situations in practice in which the tax calculation method is based on the "low" comparison object selection method and the "obvious" degree determination standard.Investigate the reasons.First,the current legislation is vague and general,and second,the "low" comparison target and the "obvious" degree are unclear and uncertain.Therefore,it is necessary to strengthen the procedural regulations in the verification link of "obviously low tax calculation basis",and various tax laws and regulations should also specify the "obvious" proportion to minimize the impact of objective market factors on the transaction price of tax calculation basis declared by taxpayers..The fourth part is the investigation and analysis of the judicial decision for legitimate reasons.Through judging the actual case of judicial reasons,it is found that the tax base price declared by the taxpayer in practice is obviously low.There is a valid reason.The court's ruling rules are as follows: The first is a "justified" ruling,which is limited to solving social contradictions.Special cases.The court held that the low transaction price had valid reasons and could be used as the basis for tax calculation,but there must be evidence to prove that the transaction was to resolve the special situation of social contradictions.The second is the "unjustified" judgment,which applies to cases in general circumstances.That is,even if the taxpayer's civil transaction is real,legal,and reasonable,the tax calculation basis reported by it is not adopted in tax law,and the tax authority has the right to verify the tax calculation price.Regarding the distribution of the burden of proof for legitimate reasons,from the judgement cases retrieved,the court assigned the burden of proof to the taxpayer.Based on the actual case investigation,this article points out that the criterion for judging the justification should be reviewed from three aspects: the authenticity,legality,and rationality of the civil transaction,and whether the apparently low price of the tax calculation basis is justified for the burden of proof.Recommended for taxpayers.