The Impact Of Tax Sharing On Local Education Supply In China

With the continuing reform of the financial system,the financial rights of central and local governments have been constantly changing,and the proportion of central fiscal revenue brought about by the reform of the tax-sharing financial system has greatly increased,in 1994.In the reform of income tax sharing in 2002,enterprises and individual income taxes were shared between the central and local governments,and by May 1,2016,the full implementation of the "business tax increase" resulted in the loss of local business tax revenues.Financial system reform in China has always been the focus of economic and political attention.In the process,according to the central and local financial management system,the provincial government has formulated the fiscal decentralization system within the province,and divided the revenue of the provincial fiscal revenue by the way of "flexible tax sharing".This province-by-province split form is a test of local government self-management and behavior choice.As the main part of the free control of the prefectural government of our country,as the core issue of fiscal decentralization,tax sharing reflects the process of fiscal decentralization.The study of tax sharing can be used to understand intergovernmental relations and government behavior from another point of view.In the fiscal decentralization,the local government has assumed too much power,which may reduce the local public service supply,especially the education supply,under the fiscal incentive effect and the promotion incentive effect,which may lead to the reduction of the local public service supply under the fiscal incentive effect and the promotion incentive effect.This shows that the supply of local public goods is not a simple fiscal expenditure problem,but a systematic financial power division and political issues.This article mainly through the Tax Sharing cent to the education expenditure investment phenomenon research analysis,and hopes to carry on the more in-depth analysis to the local property right change a series of influence,In order to improve the existing financial system to solve the current problem of education resources supply.Especially in the critical period of the deep-seated economic and social transformation in China,it is of great significance to study the distribution of tax revenue to the supply of local education and the development of local government tax system.The share of Tax Sharing is the core part of fiscal decentralization,so the paper is based on the second generation of fiscal decentralization thought as the theoretical basis.Taking the prefectural city as the research unit,the paper studies the local education supply by combining the qualitative and quantitative analysis with the empirical analysis,mainly using the comparative analysis method,the quantitative model method and so on.In the first chapter,it mainly expounds the problems of local education supply during the period of economic shift in our country,and analyzes the background and significance of the problems in detail,and the Literature review.The second chapter is theoretical basis of tax sharing and public goods supply,respectively from the theoretical origin and empirical research.The third chapter describes the current situation of tax share and local education supply,and analyzes the difference of the total amount and structure of local education supply and the quantity change of main tax categories.The fourth chapter is the empirical part.The quantitative analysis model is used to screen the data of prefecture-level cities in China to describe the current situation of the supply impact of tax revenue divided into multi-level and cross-regional education,and the correlation analysis is carried out.The fifth chapter is the conclusion and countermeasure suggestion of the paper,obtains the negative correlation between the tax share and the local education supply,analyzes the deep-seated reasons of the unbalanced allocation of educational resources,and puts forward some constructive suggestions to improve the existing financial system.Including local tax sharing,it is necessary to realize top-level design,Optimize the official assessment mechanism and adjust the responsibility of inter-government education.