Research On The Influence On The VAT Tax Burden Of Icbc By The Tax Reform From Business Tax To Value-added Tax

From 2012,the government had been implemented the replacement from business tax to VAT by industry.Especially from MAY 1,2016,the government had been implemented the Tax Reform to the last four industries such as Constructions,Housing,Finance and Life service.The business tax has been withdrawn from the historical stage.Because of the Finance having played an important part of the economy,the influences on the commercial-bank by the tax reform and how they adapt to the reform have been a subject which is worth to research in depth.For eliminating the unreasonable phenomenons,this article first research the influence on the tax burden of all the commercial banks.Secondary,taking the ICBC for example which is one of the biggest commercial banks,analyzing the tax burden organized from financial reports of the ICBC from 2014 to 2017,discussing the reasons which increase the tax burden.A phenomenons was found that although the government promises that the the tax burden of all the industries will decreases according to the Tax reform,sometimes some of the business banks suffered increasing tax burden.The main causes are as follows: the incident of taxation and tax rate are increasing,the interest on deposit cannot deduct the VAT tax,the profit and loss on the invest and the non-VAT incomes makes big loss.Lastly,the measures which could increase the profit as well as decrease the tax burden are as follows:on one side,ICBC need to improve the interest and invest incomes structure,promote the middle service,eliminate the loss on the non-VAT incomes.On the other side,ICBC also need to optimize the expenditure structure.