Tax Policies Regulating Personal Income Distribution

Enter "The12th Five-Year Plan", the issue of income distribution once again becomekey issues of current concern in the community. The distribution of income is not only aneconomic problem, but is a social problem. Tax policy as an important means of regulationof income distribution, has been an important tool of national government regulation.How to give full play to the role of tax regulation, change the current irrational pattern ofincome distribution, narrow the income gap and maintain a more reasonable range, is anurgent and worth exploring. The12th Five-Year Plan proposed to rationally adjust thedistribution of incomes, to continue to adhere to and improve the distribution system ofdistribution according to work a variety of modes of distribution coexist. Initial distributionand redistribution are necessary to properly handle the relationship of efficiency and equity,redistribution is more focus on equity. Restructure financial expenditure, increase theproportion of the expenditure of public service, Increase the input in social security. Moresubstantial increase in residents transferred income. Therefore, regulating incomedistribution in China’s tax policy studies, is not only has important theoretical significance,but more specific and practical significance.The article first defines the object of study for the redistribution of income, and thusthe tax adjustment of income distribution theory discussed. Based on empirical analysis ofthe effect of the regulation of the tax system and the personal income tax on incomedistribution. The current situation and problems of current tax policy in regulating incomedistribution, and learn from foreign experience and enlightenment of the tax adjustment ofincome distribution gap. Finally, improvement and development of our country to regulatethe distribution of income tax policy proposed in this paper. This article is divided into fiveparts: The first part is an introduction. Introduces the research background and significance,the definition of the concept of income distribution, domestic and international literaturereview, as well as the main research and technology roadmap. The second part of this studyprovide a theoretical foundation. Introduces the theory of social equity allocation, taxregulation theory of income distribution and tax mechanism regulating income distributionanalysis. The third part is the empirical analysis. Through empirical analysis of the currenttax system as well as the personal income tax in the regulation to adjust the adjustment ofincome distribution effects. Analyzes the current status quo of tax policy to regulateincome distribution and the existence of the problem. The fourth part of the foreignreference. Mainly to study developed countries.and developing countries tax policy measures taken in the adjustment of the income distribution gap. Thus, we can drawexperience and inspiration. Part V for the suggestions, Empirical Analysis of OverseasExperience on the basis of. Targeted advice and suggestions on the problems of tax policyin regulating income distribution in China. The first is mainly from the overall tax structureto carry out reforms. Give full play the main role of the direct taxes, while strengtheningthe role of indirect tax adjustment of income distribution. Second, we must reform sometaxes such as personal income tax, consumption tax, etc., to develop and improve theproperty tax. Finally to improve relevant laws and regulations and other supportingsystems, revenue protection policies to effectively adjust the gap between the distributionof income from the tax environment.