The Influence Of Tax Burden On Resident Consumption

At present,the world economy is in decline,the international economic form is complex and changeable,and China’s economic development is in a new dilemma.Foreign trade exports have been greatly impacted,and the domestic demand situation is not optimistic.Investment has fallen sharply,consumption in the domestic market has been weak,and the model of investment-driven economic growth in the past has not worked significantly in the current environment.Under the new situation,consumption is not only the key link and important engine of unimpeded domestic and international double circulation,but also the main focus of promoting economic transformation and upgrading and ensuring and improving people’s livelihood.At present,China’s tax system includes 18 types of taxes,and the coordination and cooperation between each tax system regulates social investment,savings and consumption.As one of the core issues of taxation,the impact of tax burden on residents’ consumption has attracted much attention because of its different influence angles,influence levels and influence paths.This thesis studies the impact of China’s tax burden on residents’ consumption,on the one hand,hoping to provide a certain theoretical basis for the future reform of China’s fiscal and taxation system;on the other hand,it also hopes to provide direction for seeking "law to break the situation" in the current epidemic background.This thesis will study the impact of China’s tax burden on residents’ consumption.First of all,this thesis will explain the relevant theories and mechanisms of action involved in the research.The relevant research theories mainly involve the theory of relative income consumption,the theory of permanent income consumption,and the theory of life cycle consumption,and provide theoretical support for the empirical research and analysis of the following thesiss through the elaboration of related theories.In terms of the mechanism of action,the "income effect" and "substitution effect" generated by China’s value-added tax,consumption tax,property tax and personal income tax are introduced separately on the scale of resident consumption and the structure of resident consumption.Secondly,the second part is mainly a description of the current situation of China’s tax burden and resident consumption.The introduction of the current situation of China’s tax burden is mainly described from the three perspectives of China’s overall tax burden,different tax types of tax burden,and direct and indirect tax burden.The introduction of the current situation of resident consumption in China is mainly elaborated from three angles: the scale of resident consumption,the quality of resident consumption,and the consumption structure of urban and rural residents.The review of China’s tax burden and the current situation of residents’ consumption will provide direction for the formulation of empirical research and countermeasures in the following thesiss.Subsequently,the third part is based on the analysis of the mechanism of action and the current situation of the previous thesis,so as to set the model for empirical analysis.This thesis studies the impact of tax burden on residents’ consumption by constructing a VAR model,first by selecting variables,and finally selecting the resident consumption level as the explanatory variable,vat(including business tax),consumption tax,personal income tax and property tax as explanatory variables,and then by processing the data collected by the National Bureau of Statistics and the China Statistical Yearbook,and then establishing a VAR empirical model for testing,the final research results show that in addition to the promotion of personal income tax on the consumption level of residents,VAT,Both consumption tax and property tax will have a dampening effect on the consumption level of residents.Moreover,the impact of different types of taxes on residents’ consumption is also different,which will have different effects in the short and long term.Finally,according to the theoretical analysis and empirical research conclusions of the above,suggestions are made from four aspects:deepening the value-added tax reform,adjusting the design of consumption tax,optimizing the individual income tax system,and improving the property tax system.