An Empirical Research On The Relativity Between Tax Income And Economic Development

Recently, our tax income has been kept a state of great increase, which provides financial guarantee of development of social economy. In 2007, our tax income is 4944.9 billion, and the number of increase is 1181.3 billion and the rate is 31.4%, which is the highest level since 1994.The proportion of tax income and GDP is 20%.But rate of increase of tax income is greater than GDP. So the relativity and the reason between the tax income and the GDP is obviously important.Many theoric research and empirical research show there is not obvious negative relativity. So one exact analysis between the tax income and the GDP has an important point meaning.This thesis mainly studies the relativity and the reason between the tax income and the GDP both in theory and in practice. The result of research is that there is mutual and positive influence between the tax income and the GDP, and we take Nanjing for case to validate our conclusion, and we also give some reason about the different speed between the tax income and the GDP. Basing on the conclusion and analysis above, I give some suggestions to government, corporation and interrelated organization.