A Study On Tax Policies Promoting The Development Of Circulareconomy

Circular economy is a kind of new economic development pattern under the guidance of the concept of sustainable development. It is to subvert the traditional linear model of resources - products -waste, but also different from the end-of-pipe control. It requires to follow laws of ecology and to allocate the natural resources and environmental capacity rationally.According to the principle of"reduce, reuse,recycle", we will realize the virtuous circle between the ecosystem and the economic development.With the advent of post-industrial economic times,developed countries have begun to study the development strategy of circular economy, and has made remarkable achievements.China's new path of industrialization requires that we should not take the developed countries'old ways,like that pollution first,treatment later.The"Eleventh Five-Year Plan"stressed that circular economy is an important content of constructing a resource-saving and environment-friendly society in China. However,To develop the circular economy,We must use the policy of the government to adjust the running of market while we rely on the market itself.Of these,tax policy can be proved to be an efficient policy instrument in achieving sustainable development and circular economy.This paper tries to analysis the status quo of China's circular economy and the function of tax in promoting circular economy,under the guidance of sustainable development theory.And it summarizes the theory and practice of green taxaes in the west.Focus is put on how to improve China's tax policy system with the concept of circular economy , which is the key to solve in this paper.The paper consists of fifve chapters.The first two chapters of this paper mainly center on the general theoretic issues concerning circular economy and Pigou Tax and Coase Theorem,and the demand for the tax policy .The third chapter mainly talks about China's tax policies which have been implemented and the main problems.Next,in the fourth chapter,it elaborates on the international practices like United States, Japan, the European Union.In the last chapter,a study on circular economy promotion taxation policies are presented,taking the reality of China into consideration.It comes up with improving the existing taxes, introducing new taxes, improving the tax incentives, rebuild tax penalty mechanism and so on.