Between China And Asean Regional Economic Integration Tax Coordination

Market mechanism has the world economy develop toward being one or some big units.and no main body of political and economic can grows his economy if it is not belong to the open economic system that is expanding quickly. The global competition has economic bodies come to associate with each other to face the challenges from outside of their region. and this trend becomes more and more strong. Competitions from Europe union and North america free trade area and the crisis of east Asian finance being passed all bring more ideas of Asean deeping economic relationships of members. The limit of resource has China think how to cope with the economic competions from Asean , European union and north America .The contents of regional economic policy includes tax policy harmony, and the base of theory of regional economic policy are interdependence theory and game theory .The styles of international tax harmony are tax treaty, tax declaration, and custom union and so on.The European Union is a model of economic policy harmony, and it is founded based on a good base of ideas and organizations. It's success of tax harmony improve the European Union. On the way of foundation and development of European Union, the harmony of direct tax clear the obstructions of goods flowing,and the harmony of indirect tax has the capital go freely , up to that whole marcket is formed , the seccess of Euroean Union's is that first,harmonizing aim is definitely, and second, difference is permitted in common,and third, pace of tax harmony is kept with the development of economy.The tax harmony of China and Asean is at the primary stage now, and ChinaAsean free trade area which is founded on the base of Asean free trade area with wich has the same characteristics ,and it is just a trade arrangement.The differance of tax system of China and Asean has tax harmony complex and long. however, the tax harmony of China and Asean is very important.For the aim of harmonizing with Asean in tax system better, china should reform tax system, and adopt the right way to harmonize.