Study On The Tax Incentive System Of Educational Donations

As a fundamental project to improve the quality of the nation and achieve national wealth and strength,education plays a fundamental and strategic supporting role in the comprehensive construction of a modernized socialist country.Documents such as "China Education Modernization 2035" and "Opinions on Deepening Education Teaching Reform and Comprehensively Improving the Quality of Compulsory Education" clearly put forward the need to promote equitable and quality development of education and make it a key task of education modernization in the new era.Affected by the downward pressure of the economy and the tightening of financial education spending,the issue of education funding has become a bottleneck inhibiting the development of education.In order to develop education well,we must pay attention to the power beyond financial education expenditure and diversify the sources of education funding.Education donation is an important way to raise education funds in countries all over the world,and it is important to study the tax incentive system for education donation to promote education donation and thus the diversification of education funding sources.Education donation can not only alleviate the problem of tight education funding,but also allow poor students to have better education conditions and standards,directly and indirectly reducing the burden and pressure on families.In addition,education donation can,to a certain extent,guarantee the balanced development and fair distribution of education,and alleviate the problems of imbalance and inequity in the starting point and education process caused by local differences and class differences.However,China’s modern education donation started late and at a low level of development,with problems such as small scale,single channel and content,and low percentage of individual donations.Tax incentives are one of the main tools commonly used by governments to guide charitable giving,and one of the most important means to promote the development of philanthropy in China.With the increasing globalization of charitable giving,mutual learning,learning and cooperation between countries is an inevitable trend in the development of philanthropy.It is of practical and farreaching significance to explore the tax incentives applicable to education donation in developed countries to promote the development of China’s education donation.In view of the above issues,this paper attempts to analyze the necessity of education donation from the current scale and structure of financial education expenditure.It also compares the sources,scale,channels and contents of educational donations in China,Japan and the United States,and explores the mechanism of the impact of tax incentives on educational donations.On this basis,this paper summarizes the current tax preference systems for educational donations in China,Japan and the United States,and finds that there are institutional differences between China and Japan and the United States in terms of low pre-tax deductions,short carryover years,single donation channels and contents,estate and gift tax gaps,and complex deduction procedures.Based on the above research,this paper puts forward the following feasible suggestions.First,increase the amount of pre-tax deduction;second,extend the excess carry-forward period for educational donations;third,encourage the diversification of donation channels and contents;fourth,introduce estate and gift taxes and implement tax exemption for educational donations;fifth,optimize the pre-tax deduction procedures for educational donations.