The Study Of Local Taxation System In China

After China carried out the structure of tax system reform in 1994, China has established the basic frame of central and local tax system. It insures the steady increase of financial income and it also accelerates economic high- speed development .But along with our country's various reforms to go further, the current local tax system also emerges some disadvantages and problems which restrict the society to realize its goals. So we should reform current local tax system to promote economy to develop comprehensively by building a scientific, strict local tax system.Firstly, the article explains the theory gist of local tax system in the framework of public finance.Secondly, the article focuses on describing the main problems of current local tax system and tries to explain the reason that local tax system has low efficiency. It also points out other existing problems of local tax system .And the problems are that: the system of local tax law is not perfect; local tax system power concentrates more to central government, the local government can't play its role well; local control over wealthy and affair right are not matching, the extra-budgetary charge deluge; the partition and management of category of taxes are not accordant with the adscription of tax incomes; the local tax system is not reasonable.Thirdly, the article gives some advice on construction of the local tax system by learning from the experiences of some western developed countries. The article considers the improving of the local-tax system must resolve two problems which are problem of the right of tax and the structure of tax system. Then the article brings forward basic assumptions of its innovations which are on the perfection of the local tax system from the following aspects including the right of tax lawmaking, the division of tax type between the center and the local, the electing of the main tax in the local tax system, speed up regulating fees and charges.