Personal Income Tax Reform and Improvement Act of Thinking

Abstract: The widening income gap in the context of regulatory function has the distribution of personal income tax Law can not play its regulatory role. Based on the analysis based on the specific conditions of China, drawing on the successful experience of foreign countries, which proposed a reform and Perfection of the Individual Income Tax Law of the specific recommendations.

Abstract: With the income gap widening up day by day, the Personal Income Tax Law with the context of allocation of regulatory functions can not play its regulatory role. Based on analyzing our country's specific conditions and referencing the successful experience of foreign countries, this article puts forward specific recommendations of reforming and improving of our country's Personal Income Tax Law.

Keywords:: value target, tax model, the amount of energy taxation
Keywords:: value goal, taxation model, the principle of levying on ability

0 Introduction
Recently, the Economic Observer reported on the story <<Hanan: the income gap has reached 23 times>> has aroused extensive attention. It is reported that: It is now 10% of residents in the highest income group and 10% of the proceeds from the lowest income group, National Bureau of Statistics data is a difference of 9 times, and the experts calculated that a difference of 23 times, considering there are a lot of gray income, illegal income is not included in the Statistics, the actual gap is even larger than this number. [ 1] the widening income gap in the context of regulatory function has the distribution of personal income tax Law there are fallen short of expectations, not only failed to play its regulatory role, the income gap is widening instead worsen the trend. To this end, the community called for reform and improvement <<Personal Income Tax Law "> voice higher and higher. developed nearly a decade of personal income tax law reform is a" fair "," efficiency "as the objectives of the reform, focusing on expanding the tax base around, reduce all kinds of preferential treatment to plug tax loopholes for the. [2] experience of their success is that we can learn, but this study and reference must be based on solid understanding of the basis of national circumstances. Marxist Theory of Law that any law and the record is just that certain material conditions of Economic life only. [3] Based on this understanding, we set <<Personal Income Tax Law "> The value of the target, must adhere to the basic from our own national conditions, in accordance with the requirements of the socialist market economy, in the grasp of world Economic development trends and the development of international tax system overall context of the premise, the formation of Perfection <<Personal Income Tax Law "> The value of the target system, thus further improving the Personal Income Tax Law of the specific system.

A properly adjusted the value of our objectives of Individual Income Tax Law
At present, accompanied by deepening reform and institutional change is due to structural adjustment, individual differences in earning capacity, and other reasons of historical development between regions, between urban and rural areas, different job title groups, the income gap between workers pull the speed is very fast. The problem, if not by including personal income tax reform, including comprehensive measures to resolve, will restrict further stabilize our national economy, coordinated and sustainable development, and may lead to serious social problems. From the above analysis, we The author believes that China's reform and improvement <<Personal Income Tax Law "> target guiding ideology and values ​​should be defined as" improving the tax system, improve and standardize the collection and management efforts to adjust the income gap between the "three main areas, improve the tax system, improve and standardize collection reflects the tax statutory, rule of law to the requirements of tax according to law. And in the individual income tax, regulation, efficiency considerations of the three value function, select the "regulatory function" as the perfect personal income tax law, the main value of the objective balance between efficiency and financial revenue goals, which is rapidly expanding gap between rich and poor in China at present, the state's financial situation also needs to be improved based on the analysis made a wise choice.

Category 2 tax system reform model to the classification of income tax system to achieve the transformation
Theoretical point of view from the tax, income tax income tax system for classification, comprehensive income tax system and the classification of the three income tax system. [4] classification of income tax legislation is different according to different income tax rates and practical, the differential treatment not only can control the sources of tax revenue , but also save collection costs, collection and management conditions for poor countries, but likely to cause the taxpayer to evade taxes is difficult to break down income tax principles of fairness. comprehensive income tax system reflects the level of the actual burden on taxpayers, in line with the principle of capacity to pay and the amount of to the principle of taxation, but its drawback is that tax cumbersome, easy to create opportunities for tax evasion. Category integrated system drawing on the advantages of both types of tax, the amount of energy, which reflects the principles of taxation, but also the different nature of the taxpayer from the implementation of differential treatment, reflecting the classification of income tax system and the convergence of momentum for comprehensive income tax system is a good income tax system, but the structure is most complex and difficult to bring a lot of tax collection, making this model from the implementation of results, far well short of its intended target. And we also know, comprehensive system of individual income tax must have certain conditions, but our fully equipped difficult in the short term. Therefore, I believe that the recent shift in China can not fully direct the synthesis system, should be from the "Little General" gradual transition to "large integrated", that is the first comprehensive collection to expand the scope of classification and synthesis using the model, that is the main source of income such as salaries and wages, business income tax and other integrated, on interest, dividends, special right to use fees from the project continue to implement the classification of taxes. in the long term, with the per capita income and raise the level of tax collection and improve the external environment, can gradually expand the scope of comprehensive income levy, Zhuanxiang completely integrated system, to better promote horizontal equity and vertical equity.

Links to Free Download Center http://www.hi138.com 3 specification paper tax deduction, the amount of energy to achieve the principles of assessment
Fees deduction must be designed to adhere to the fair mainly take into account the principles of efficiency, according to the design of the taxpayer's ability to pay a reasonable tax burden. At present, the personal income tax law provides for wage and salary income of the exempt amount of 2,000 yuan, which reflects the lower level of income to take care of the family, but it does not distinguish the different nature of the proceeds, there is no difference between the specific circumstances of different families, making it difficult to achieve "the amount of energy tax", let alone to achieve the tax unfair. Based on the above considerations, the author that <<Personal Income Tax Law "> should be considered the costs, regional differences and family responsibilities and other aspects of the specific circumstances in order to take concrete measures to improve the pre-tax expense deduction system. At the same time," <Personal Income Tax Law "> given on the cost of living deduction should not be fixed, but should be floating, that should be with the national exchange rates, price levels and family living expenses increased by factors of change, which at present has a certain degree of difficulty, should be our long-term goal .

4 improve the monitoring system, improve the collection and management level, increase the punishment to individual income tax violations
The difficulty of the crux of Individual Income Tax on personal income tax authorities is the lack of an effective source of monitoring methods, so we should be selective according to the specific circumstances of the advanced countries learn from the experience. In tax legislation, taxpayers and payments should be established units of two-way reporting system, improve the system withheld at source, clear responsibilities and obligations of withholding agents. in tax law enforcement, to increase the use of the computer, through the national network, systems and computer networking and other means to improve the collection and management capacity audit , strengthen the supervision of high-income earners and collection management, real-name system should be in savings, based on the progressive implementation of all individuals to pay into personal accounts system, a full range of personal income include all forms of taxation, restricted cash transactions, the income of citizens in the tax authorities are under the effective control, resulting in strict control system, the promotion of civic consciousness tax law to reduce tax evasion models of behavior. in tax justice, to increase tax-related crackdown on crime, thus giving people with criminal attempt to sufficient deterrent effect. in accordance with the principle of cost-effectiveness, when the cost of tax evasion is much higher than its earnings, the tax evasion behavior would be greatly reduced. while also strengthen the collection and management staff training to improve the collection and management level. the only way to personal income tax law should play a regulatory function.

References:
[1] drop Yun Chang, Xiaodan. Hanan: the income gap has reached 23 times. Http://www.sina.com.cn 2010 �� 09 �� 03 �� 23:09 Economic Observer.

[2] High Mickelson. International Tax Law (second edition, legal publishing, 1993:36.

[3] cited http://www.sina.com.cn 2006/01/15 23:10 love test network (Renmin University of Law, 2006 Professional questions resolved.

[4] Liu Jianwen. Tax law [M]. Higher Education Press, 2004:520. Links http://www.hi138.com Research Papers Download