Research On Legal Issues Of Trust Tax System

Trust is one of the four pillars of the financial industry，which contains bank, insuranceand securities. Chinese trust industry has developed rapidly in recent years，and thepromulgation of "The Trust Law of People’s Republic of China " symbolizes that China’strust industry has stepped into the standardized path.But China’s current tax on the trustbusiness is essentially to apply the provisions of the existing tax policies for generaleconomic activity, the lack of a clear policy intentions and leads to the problem of doubletaxation between the business sectors, which restricts the development of trust industry.Therefore, combining foreign experience and the characteristics of China’s trust business,researching and formulating tax, making the tax burden of trust equitable, and promoting thedevelopment of the trust industry are a serious problems.This paper includes three parts:The first part, theoretical analysis of trust taxation. Briefly introduced the basic theoryand the development of trust industry. Then analyzed the theoretical basis and the mainissues of trust taxation, specifically included the phenomenon of double taxation, theexistence of a tax avoidance space and the lack of tax incentives.The second part, the international comparison and reference of trust taxation. ComparedChina’s taxtion with British,America，Japanese, Taiwan’s trust taxation system from thetrust’s sets up、operate、terminate three aspects. Then draw the inspiration of constructingtrust taxation: the principle of beneficiaries burdening tax, the principle of the stability ofthe tax system, taxation principle of occuring, the implementation of preferential policies forcharitable trust.Third part, the suggestion of constructing the China’s trust taxation system. First analyzed the China’s trust and the trust taxation system’s situation at present. And give thesuggestion of constructing China’s trust taxation system, including the principle、suppositionand coordinated sets of measures.