The Influence And Countermeasures Of Business Tax Reforms To Value-added Tax (BT REFORMS TO VAT) On The Transportation Enterprises In Xiamen City

Since November 1,2012,Xiamen has carried out pilot projects for BT REFORMS TO VAT in the transportation industry and some modern service industries.This project is mainly aim at adjusting the industrial structure,eliminating double taxation,and reducing the burden on enterprises,which is also an important reform to push tax system to meet international standard,as well as reduce structural tax.But the effect of the tax reform are different to each companies due to the wide range of individual conditions in the transportation industry after the introduction of reform measures.Whether VAT Program has realized its original intention?Are there existent problems when putting it in practice?How should the government improve?How should companies respond?Because the policy has been implemented more then six years,abundant data has been accumulated in practice,this article intends to use the sample data and typical case for Xiamen to make an analysis and research.This article will focus on the background of BT REFORMS TO VAT,combining with the features of transportation industry in Xiamen.It starts with the theoretical calculation of the influence on the transportation enterprises in Xiamen.And then based on the tax burden analysis theory,selecting the typical sample of transportation enterprise to do the data analysis.By this way,a systematically studies on the tax burden and profit impact for enterprises has been done mostly.It takes Xiamen Airline as a typical enterprise to do the analysis,from which we can know the current situation of BT REFORMS TO VAT in Xiamen.Study on the effect of BT REFORMS TO VAT in transportation industry,specially in the upstream and downstream chains,will greatly help us to propose strategies for enterprises in Xiamen,to provide reasonable recommendations for our government in helping enterprise to develop,adapting in the tax reform and strengthening tax administration.This article is mainly divided into the following sections:Chapter 1:Introduction.Introducing the research background,significance,content,methods of research and innovation part;Chapter 2:Summary of the tax comparison and the policy of BT REFORMS TO VAT.It mainly introduces the differences between business tax and value-added tax.It also explains BT REFORMS TO VAT in the following aspects:background,history,and specific contents,relevant provisions for the transportation industry and the analysis on the desired effects.Chapter 3:The influence of BT REFORMS TO VAT on transportation industry in Xiamen.This section measures theoretically the influence of BT REFORMS TO VAT on transportation industry in Xiamen in two aspect,tax burden and profitability.Through analysis,it is concluded that the impact from the policy mainly depends on the purchase of fixed assets and the VAT input tax that can be obtained by this company.Chapter 4:Review and empirical analysis of the effect of BT REFORMS TO VAT in Xiamen transportation enterprises.This section examines the actual implementation effects of BT REFORMS TO VAT,and empirically analyzes the 2012-2017 financial data of 30 large-scale transportation enterprises,to verifies the theoretical hypotheses of this article and analyze the influence of BT REFORMS TO VAT on transportation enterprise in Xiamen.Chapter 5:A case study of the operation of BT REFORMS TO VAT of Xiamen transportation enterprises Taking XH Co.,Ltd.as an example,according to the company's actual financial data,conduct a typical analysis,and specifically analyze the effect of the policy of BT REFORMS TO VAT.Chapter 6:Suggestions on Xiamen government and transportation enterprises'countermeasures of BT REFORMS TO VAT Considering the difficulties that the transportation enterprises are facing now under the policy BT REFORMS TO VAT,proposing suggestions,for both local enterprises and government,by changing the strategic operating model,optimizing operational processes,improving financial management,improving risk prevention and control,actively implementing tax planning,appropriately decreasing tax rate,simplifying the tax grades,increasing the share of the industry's general taxpayers solving the deduction problem and so on,in order to reveal the effect of BT REFORMS TO VAT in structural tax reduction.Chapter 7:Conclusions.The number of deductible projects for transportation enterprises will gradually increase as the breadth and intensity of BT REFORMS TO VAT.In the long run,enterprises can reduce the double taxation,reduce the tax burden.Also,it will help to promote the technological transformation and industrial structure upgrade of the industry,which will help enterprises to have further development.