The Taxation Policy Research On Transformation Of The Mode Of Economic Development In Anhui Province

With the socio-economic development of Anhui Province, the extensive mode of economic development is difficult to continue such an extensive development mode mainly by relying on the elements of investment. Therefore, an important change of the socio-economic areas in China is to accelerate the transformation of economic development. This transformation occurred among the economic development process and in all areas.Since the end of the20th century, the central government put forward the basic principle of China in the period after a fairly long period of economic work is to actively promote the economic growth mode from the extensive growth to the intensive growth mode. The Seventeenth Congress of the Communist Party of China report in2007also re-emphasized the transformation of economic development, and stressed that "speeding up the transformation of economic development, promoting the optimization and upgrading of industrial structure, which is urgent and important strategic task of the national economy as a whole. We need adhere to Chinese characteristics of new road to industrialization, insist on expanding domestic demand, especially the principle of consumer demand, promote the economic growth by relying mainly on investment and export to consumption,investment,export co-driven changes, by relying mainly on second industries to rely on the first, second, the tertiary industry collaboration change and by relying mainly on the increase in resources consumption to rely mainly on scientific and technological progress, improving the quality of workers, innovation in management".At the same time, in the meeting of the eleven National People’s Congress of the third session in March2010, Premier Wen Jiabao in the report said that the transformation of economic development urgent need to vigorously promote the economy into innovation-driven endogenous growth, development track.The tax is the main source of state revenue, but also Chinese macro-control economic instruments, and plays an important role in promoting the transformation of the development mode. This paper first describes the basic meaning of economic development and the way of economic development and analyzes the main factors of the economic system, for example technological progress, human resources, the economic development mode shift and so on; describes the basic theory on the tax policy in promoting the economic development mode shift, such as economic effects of tax, the principle of tax neutrality and optimal tax theory. Secondly, this paper describes the achievements of the mode of economic development from the three aspects of industry structure, energy conservation and independent innovation; and then analyzes the problems in the process of the transformation of the economic development mode in Anhui Province:low resource utilization, serious waste, livelihood issues,the low capacity of technological innovation and other issues; this is mainly caused by the economic system, the industrial structural imbalance, lack of human capital and harmonious investment, consumption and net exports proportions. Once again, analyzing the current tax policy in Anhui Province obtains the positive role of tax policy in the transformation of the economic development mode, and the inadequacies of the current tax policy:first, the current tax system in resource utilization and environmental protection deficiencies; second, the current tax system lack of the policy support to promote the development of the service industry; third, the current tax system is inadequate to stimulate the domestic demand; fourth, little effect of the current tax system promotes the independent innovation.Finally, according to the status quo, this paper presents recommendations from independent innovation, energy conservation, environmental protection, industrial structure optimization and upgrading of urban and rural, regional balanced economic development in these areas.