Greater Mekong Sub-regional Tax Co-ordination Study

In 1990s the financial crisis that broke out in southeast Asia has arouse deep thinking. At the same time impulse and press from European Union and north American region, and this make southeast Asian countries'Centripetal force more and more strong. Then, southeast Asian countries try their best to accelerate economic integration. China for the purpose of this trend, 17th report say that we should combine bringing and going, and promote the implementation of free trade, strengthen cooperation between bilateral trade and economy. Recent years, Chinese participation in international regional economic cooperation is accelerating. In 1992,Asian Development Bank promote GMS's cooperation, ADB make the promotion of cooperation of Asia-Pacific region as regional economic cooperation, for this in the framework of Asian-Pacific regional cooperation, China, Vietnam, Laos, Myanmar, Cambodia and Thailand define this cooperation as sub regional economic cooperation. As for this we say that GMS is areas within region, belong to category of regional cooperation. After of 18 years development, GMS has become one of the fastest growing region. GMS's economic cooperation promote east Asian economic development, and bring opportunities and challenge for China.Because the purpose of establish of this transnational regional economic organization is obtaining comparative advantage in the global competition, in the region we execute low-tax rate or zero-tax rate, this promote development of free trade, enhance the level of welfare within the organization, execute unity or different tariff. Economic globalization bring investment, trade, international flow of workforce or transnational distribution, make the tax relationship among countries stronger day after day, but the tax system differences among countries and triggered conflicts and inconsistencies, has become significant obstacle in the international economic integration process. So, transnational regional economic organization must lower their tariff and at the same time strengthen tax system and coordinate tax policies. Coordinate GMS tax system is a necessary step in this article, and at the same time this can accelerate the process of GMS's economic cooperation.In this article we study GMS's tax system coordination, and relying regional and international economics, institutional economics and international tax and so on, we adopt experience analysis and standard analysis. This article can be divided into five chapter, Chapter 1 summarize this article's topics background and research significance, arrange literature reviews, we propose paper's innovation and inadequation. Chapter 2 analysis regional tax coordination theory. Chapter 3 major analysis the currency situation of tax coordination. This article analysis comparatively GMS's tax system and based on tax coordination, at the same time from the start of current situation of GMS tax system , we analysis the restrict factor of tax coordination system,the last we analysis quantitatively the effect of tax coordination. Chapter 4 summarize practice and experience of tax coordination in EU and CAFTA.Chapter 5 adopt the successful experiences of UN,CAFTA tax coordination and combine regional tax coordinational current situation of GMS, propose some constructional policy proposal.