Research On The Impact Of Real Estate Tax Reform On Local Fiscal Revenue And Its Optimization

Since the reform and opening up 40 years ago,China's financial system has undergone several institutional changes.After the tax-sharing reform in 1994,the financial relationship between the central government and the provincial government was basically determined,but the fiscal relationship between local governments was not completely straightened out.The double pressures of local government's financial difficulties and pursuit of political achievements urge local governments to obtain financial revenue through extrainstitutional and extrabudgetary methods.With the implementation of the reform policy of "replacing business tax with value-added tax" in 2016,local tax categories have disappeared,and the local tax system and the local fiscal revenue system have been hit hard.It is an urgent problem for the government to solve the problem of cultivating new sources of local fiscal revenue through reasonable methods and to improve the local government fiscal system.Currently,reforming the local government's fiscal revenue structure to obtain stable,sustained,and standardized fiscal revenue is an important part of improving the local government's fiscal system.In this context,following the international experience,the real estate tax as a stable and sustainable source of income for local governments has become the focus of domestic scholars.However,China's current property tax collection model only levies property tax on commercial housing,and the individual housing in the ownership sector has not been levied.Under the circumstances that the local main tax types are lacking and the local fiscal revenue system is imperfect,the research has important theoretical and practical significance for the reform direction of the real estate tax and the optimization design of the tax system.This paper selects Chongqing real estate tax reform as an example and conducts research on it.Firstly,this paper explains and defines the concept of real estate tax and its related concepts,defines the scope of the concept of real estate tax reform in this study,summarizes the theoretical basis of real estate tax from the perspective of organizing local financial revenue,and makes an expected theoretical analysis of the impact of real estate tax reform on local financial revenue and tax system reform.Secondly,it analyzes the impact of Chongqing's real estate tax reform on local fiscal revenue,and examines the correlation and extent of the relationship between real estate tax revenue and local fiscal revenue.Through the collection of a large amountof relevant data,the paper analyzes the composition and income effect of real estate tax revenue,local tax revenue and local fiscal revenue under the current reform model.and explores the actual pulling effect of Chongqing's real estate tax on local fiscal revenue in the model by establishing relevant econometric models.Thirdly,learn from foreign real estate tax as a local main tax to stimulate local fiscal revenue growth.Combined with the shortcomings of the current scheme of Chongqing real estate tax reform,this paper discusses the adjustment path of Chongqing's real estate tax reform plan,optimizes its tax system,and simulates the effect of real estate tax revenue on local fiscal revenue after the optimized reform plan.And compares it with the regression result of the current scheme,explores that under the current reform condition of Chongqing,real estate tax becomes local practical path of main tax categories.Finally,according to the related problems faced by the Chongqing real estate tax reform according to the previous article,the paper puts forward the policy recommendations for the tax system optimization design and the improvement of relevant supporting measures.Through the above theory combined with empirical research,this paper argues that under the current reform plan of Chongqing real estate tax,the real estate tax revenue has not played a sufficient role in stimulating local fiscal revenue.There are still some problems,such as narrow scope of collection objects,unscientific tax basis,insufficient strict classification of tax rates,and lack of mandatory legal system support.In the case that the reform plan is sufficiently optimized and the supporting measures are sufficiently constructed,the property tax revenue can play a more significant positive effect on local fiscal revenue through the indirect transmission mechanism.