Research On The Personal Income Tax Basis Of Stock Transfer Of Natural Person

With the continuous development and improvement of China's capital market,there are more and more cases of natural person equity investment and share transfer.At present,the latest personal income tax collection and management policy of natural person share transfer is the no.67(2014)notice of the State Administration of Taxation which makes a clear definition of share transfer behavior,the relationship between tax levy and payment,transfer income confirmation,etc.But there still exists many defects:the hidden action of share transfer,the weak coordination between different departments,the unenforceable preposition function of tax and the inaccurate verified price of share transfer.As a result,the tax revenue of natural person share transfer is lost.Firstly,the paper teases relevant literature about natural person shares transfer at home and abroad in detail.Based on cases study,the paper analyzes three defects of the personal income tax collection and management of natural person share transfer in China.First,the tax basis of share transfer is difficult to verify accurately.Secondly,the inconsistency between the taxpayer and the withholding agent causes the inefficiency of tax collection and management.Third,the mishandled relationship between share transfer discount and Valuation Adjustment Mechanism which results in tax disputes.Based on the value of equity theory,control premium theory and tax risk management theory,this paper borrows from the experiences in tax collection and management of foreign countries and then puts forward policy suggestions in three aspects.First,this paper puts forward two types of tax calculation models:relative value method and direct value method and then verifies the applicability of the above value models by cases.The relative value method authorizes taxation basis by uninstalling comparable share value factors and loading target share value factors.The direct value method is directly built upon share book value by taking the net asset premium,circulation premium and control premium into account.Second,it is necessary to optimize the withholding and remit tax collection and management system and to solve the difficulties in the space mismatch of tax payers by changing the withholding agents.Third,the tax disputes can be reduced through limited deduction of the loss limit of share transfer concessional prices and ValuationAdjustment Mechanism and discounted tax payment.Based on the above three policy suggestions,we can effectively monitor tax source,prevent the loss of tax,enhance the collection ability,improve the efficiency of tax collection and administration and assert the reasonable right of taxpayer.