Personal Income Tax Reform Of Income Distribution Analysis And Utility Research

Since the reform and opening up, China’s economic and social has gotdevelopment of continuous improvement rapidly. Economic level, people’s incomelevel also increased significantly. But between the urban and rural, regions, theresidents’ income gap between the industries is also increasingly expanded, and hascontinued to intensify. The income distribution has become one of the problems thatcan not be ignored in the process of China’s social stability and sustainable economicdevelopment. China’s personal income tax from the very beginning was given theimportant task of regulating the income of the residents. The newly revised personalincome tax finally surfaced, and was implemented on September1,2011. However,the reform has never been easy, the personal income tax reform and improve the takea long process, the current personal income tax there are still many less thansatisfactory.This article is divided into a total of six parts. The first section describes thebackground and topics of significance related to domestic and international literaturereview and research methods, and ideas; The second part analyzes the tax regulationof income distribution theory, and analyzes the impact of personal income tax to beeffective internal and external factors; the third part of the income gap between urbanand rural residents, the three parts of the income gap between regions, as well as theincome gap between the industry study of residents’ income distribution status quo;fourth part focuses on the personal income tax adjustment the utility of the incomedistribution, mainly from the personal the total amount of income tax, the main sourceof tax rate effects, progressive, pre-tax after-tax Gini coefficient change, as well aspast reforms utility aspects; the fifth part of the comparative analysis of the advancedexperience of foreign countries, focusing on the personal income tax system in theUnited States, Australia, and studied with the system and the collection andmanagement system between the Western developed countries to regulate thedistribution of income taxes, and to study the enlightenment; the sixth part of thestudy and perfect the idea of the personal income tax reform, proposed theestablishment of cross-classification of consolidated income tax system, improve thetax system elements design, build personal income tax rebate system a series of policyrecommendations.Based on the personal income tax to adjust income distribution utility as thecenter, the use of relevant theories and data analysis, pointed out the current situationof income gap in China, think our country personal income tax to adjust incomedistribution utility did not get sufficient play. In the advanced experience from abroadon the basis of reform proposals, and pointed out that our country should build withindividual income tax, estate tax, gift tax and social security tax supplement taxrevenue adjustment system, in order to make individual income tax to maximizeutility.