The Study On Tax Policy Promoting Equal Distribution Of Residents’ Income

Since the reform and opening-up, the speed of economic development keeps a rapid growthin the last three decades in China. The rapid economic growth makes total revenue growing, atthe same time, income gap in China also shows a trend of gradually expanded. Moderate gap isbeneficial to improve economic efficiency, promoting the development of economy and society.But expanded gap is not conducive to social equity and economic efficiency, generating anegative impact on the economic development and social stability. Tax as one of thegovernment’s important macro-control means, has a unique role in the adjustment of incomeredistribution to achieve social equity. According to the present status quo of China’s tax policy,tax is poor performance in regulating residents’ income gap and promoting fairness in thedistribution of income. Therefore, it is useful to study tax policy promoting equal distribution ofresidents’ income.The article is divided into six chapters. Chapter1is the introduction, including backgroundand significane of the research, domestic and foreign research literature review, main content andmethods of the research. Chapter2introduces the theoretical analysis of the tax regulation of thedistribution of income, building the theoretical basis of this study. Chapter3describes the statusquo and problems of China’s income distribution, analyzing the current situation and theproblems of China’s income distribution and the widening gap for tax reasons. Chapter4introduces the current tax policy for promoting the fair distribution of residents’ income,analyzing the problems of the current tax policy. Chapter5uses the experience of adjustingincome distribution by tax policy of United States, Japan and Sweden for reference and come todraw inspiration. Chapter6puts forward recommendations of tax policy to promote a fairdistribution of residents’ income and has some thinking for promoting equitable incomedistribution.