The Analysis Of Income Tax To Regulate Distribution Of Income

Economic and social system are changing. Tax system always changes when economic system and social environment become different. The individual income tax came into China in the early years of the last century. The economic environment and the political system keep the change and at the same time the income tax system is in a tortuous road for a long time. People talk about the individual income tax when they are free. The focus of the conversation is threshold and the rate. Here I chose9years’average wages from2005to2013. Data can be divide into two parts, provinces and industries. This two parts are as two factors. I should calculate the before-tax and after-tax and then use SPSS statistical analysis software to make Kruskal-Wallis inspection and variance analysis. The value of P is the basic of the test statistics. I define provinces adjust degree, industries adjust degree and combined adjustment score to inspect how much the tax standard will act on the income gap.