Analysis About Tax Policy Of Shanghai Polit Free Trade Zone

The establishment of Chinese (Shanghai) Pilot Free Trade Zone (FTZ) is one of the major decisions made by the Central Party Committee (CPC) and the State Council of PRC. It is a thoroughly implement of the essence of the 18th CPC National Congress; and moreover, it is made under the new situation of putting forward China’s reform and opening. It is of momentous significance in accelerating the transformation of government functions, exploring actively the management mode innovation, promoting trade and investment facilitation, exploring new ways and accumulating new experience for the deepening of reform and the expansion of opening.First of all, the present thesis described the relationship among the world FTZ, areas under special supervision of China customs as well as bonded logistics supervision places and Shanghai FTZ. It also described the regional tax policy and then analyzed the differences among relevant regional tax policies.Secondly, taking the tax policy in the overall plan of Shanghai FTZ as an example, it teased out item by item the relevant tax policies, which include general goods tax policy, non-monetary assets investment policy, equity incentive policy, shipping policy, financing lease policy and offshore financial policy; and then analyzed the relevant supporting policies. The thesis also introduced advanced foreign experiences when needed; especially while explaining and analyzing offshore financial policy, a large number of advanced foreign experiences were brought in. What’s more, after each policy, detailed comments on its advantages and existing problems were given.Finally, the thesis provided a comprehensive evaluation to the overall tax system of Shanghai FTZ and further analyzed the advantages and disadvantages of the relevant policies. It affirmed the achievements of Shanghai FTZ and pointed out that there is still a long way to go to be brought in line with international FTZs. Based on the analysis in this thesis, a set of suggestions on further improvement were put forward as followed: a. This plan of tax policy has limited impact on the financial industry. It should pay attention to the most important points and make policies which could bring the financial industry into the scope of "Replacing Business tax by VAT" action.b. Research and formulate financial preferential tax policies.c. Perfect the tax policy of encouraging shipping enterprises to set up funds, to increase investment on sea transportation and to proceed their renewal and transformation.d. Develop in succession supporting policies to the present policies in order to ensure the implementation of the overall plan.e. Continue to explore the advanced experiences of other countries and use them for our own advantages.f. Definitize the direction of Shanghai FTZ offshore financial business development and formulate corresponding laws and regulations to standardize Shanghai FTZ offshore financial market.