Impact And Transformation Of Area Economy At The Background That VAT Replace The Business Tax

With the industry becoming industrial value-chain, the disadvantages of the business tax is increasingly protruding. Nowadays, the real economy present that industry develop the industrialized service economy, and also service industry are developed the leading of economy. It’s a new form of economy i China. Under this new trend of development, having both value added tax and business tax, becomes a highlighted increasingly problem. And please to fully replace VAT becomes increasingly urgent, it’s most important to replace pilot of Business Tax by Value-added Tax. So on January 1,2012, it first stared i Shanghai.And then, on August 1,2013, the pilot to press industry in the country, put an end to the region pilot path selection. Predict to be finished in 2015, it will be comprehensively replaced VAT instead of business tax.As we know as, VAT and business tax are covered all industries except agriculture and enterprise in our country. So this revolution, it is not only the impact of the industries and enterprises to pay the business tax, but also to pay VAT of industries and enterprises. From the area of industry and enterprise, the influence of the tax, reform overall situation, is also called a long-term for this change. And observed from the view of system, the tax reform will be change the fiscal and taxation system reform.On the basis of the domestic and international research results about the tax system, this paper uses normative analysis, empirical analysis and comparative analysis to make a comprehensive and systematic discussion of the different influence between Shanghai and Sichuan area under the background of replacing business tax. This paper started with the situation analysis, according to Shanghai embraces the services-led pro-consumption,but manufacturing industry has a significant value in Sichuan,so the influence in Shanghai is bigger than in Sichuan; From financial perspective, we found a few problems of tax bearing in some industries not decreasing but increasing, pressure of local fiscal revenue and expenditure becoming higher, and the contradiction of central and local finance and right. As constantly promoting the reform pilot, some problems will gradually appear. The main factors leading to these problems are small scope of pilot industry, the contestation of central and local benefits. Finally, corresponding policy suggestions are drawn:with speeding up the pace of "replacing business tax with value-added tax", it is suggested to keep a watchful eye on tax changes in different industries in the progress and properly adjust the tax rate to keep tax neutrality, to further expand the scope of pilot industries to improve the deduction..