The Research On Economic Effect Of VAT Transformation

After bring the value added tax transformation policy into force, theoretician and practician both pay attention to the effect of the value added tax transformation policy, such as whether it will initiate overheated investment or not, whether it will cause financial crisis or not. Therefore, we study the value added tax transformation policy of the Northeast, then analyses the policy and economic effects of expanding the value added tax reform in the whole country.We combines fixed quantitative research method with fixed qualitative research method, theoretical research method with practical research method, macro-research method with micro- research method together. Firstly, by comparing with three types of the value added tax system and studying the development of the value added tax system in China, we pointed out that production type value added tax has gradually incompatible with China's national conditions and the transformation policy must be carried out; secondly, we analyze the economic effects and deficiencies of the value added tax transformation policy of the Northeast; lastly, we study the economic effects with Chinese characteristics of expanding the value added tax reform in the whole country.We think that, the tax transformation policy will not cause financial crisis. Besides, the tax transformation policy will stimulate investment to a certain extent, but it will not initiate overheated investment. At the same time, enterprises should have a clear understanding of transformation policy and deal with the transformation policy according to its own situation.