The Analysis Of The Game Between Taxation Bureau And Entrepreneur

Evading taxes phenomenon almost occurs in every country, which is not conduciveto the realization of government function and the development of national economy. Howto prevent the frequent occurrence of the loss of tax revenue become the subject of theeconomic researchers of many countries. Most of previous analysis of the loss of taxrevenue focused on the relevant economic factors and the solutions of the chain of the taxrevenue. As the rise and prosperity of game theory, it is widely and deeply applied ineconomics, which generates a new research angle of view on some problems ofeconomic theory. So we can use game theory to study and solve tax loss problem. Wecould apply game theory in tax system reformation of China and explore the practicalproblems in the field of tax.In this paper, under different hypothesis, the game theory model based on thetaxpayers and the tax authorities as the players of the game is builded to study thestrategic behaviors of each other. The tax authority is the player1and taxpayer is theplayer2. Based on both rational premise and each player pursuing the maximum profitcondition, what the mixed strategy of the players is. Working out the inspectionprobability of the authorities, combined with the actual situation, and the premise and themanagement strategy of the game theory, to make the management strategy is morefeasible. Taking the motivating factors parameterized into the game theory model, theanalysis and the study will be more practical. And on this basis,the best penaltycoefficient formula and the optimal mixed-strategy should be worked out according tothe opportunism behavior of the taxpayer. Build the repeated game theory model basedon two parties of taxpayers and tax authorities and expand it under the informationasymmetry. Finally, based on the statement of this paper, according to the tax type, taxlevel, tax collection, and the improvement of the tax authority personnel, the suggestionsabout deepening the reformation of the tax collection of our country are put forward.Based on the reality, according to the current tax loss problem of our country, thestudy of this article is deepened to get some conclusions that conform to the actual situation and have a certain reference value. This provides the theoretical basis for the taxauthorities designing relevant institutions.