| As the two most important kinds of turnover tax in current tax systems in China, business tax and value-added tax, imposed in parallel, have achieved mutual complementation. But with the development of economy and the increasing improvement of tax levying and management, disadvantages of imposing business tax and value-added tax in parallel are growing apparent, which makes it increasingly important to speed up the reform of tax systems. "Expanding the levy scale of VAT and reducing business tax", currently regarded as the largest structural reduction of tax, is widely used in every industry.As an important part of modern finance industry and socialist market economy, securities industry owns an overall increasingly improved tax policy and comparatively low tax burden because of national encouraging policy. But regarding problems in securities industry in China, such as current comparatively high business tax rate, unreasonable tax base, and repetitive taxing widely which even leads to breakdown of VAT reduction chain, it becomes an inevitable trend in the development of turnover tax in securities industry in China to impose VAT rather than business tax. Under such a background, it is of great significance to explore the reform of turnover tax system in securities industry and its impact on the industry in China.The thesis is structured as follows:chapter 1, Introduction of research background and significance, research thought, research methods and innovative points; chapter 2, introduction of the basic condition of turnover tax in securities industry in China and present situation of tax payment, including the situation of tax revenue in securities industry, the main content and existing problems of current business tax system; chapter 3, the theoretical analysis of tax effect, introduces the method of tax, the tax basis and theory model; chapter 4, tax burden balance calculation and tax burden estimates of the securities industry, carry out simulation analysis on the tax effect; chapter 5, combining with the above simulation analysis, put forward the implementation of the security industry VAT.In this thesis, main conclusions are as follows:EU tax-exemption method is a suitable and feasible model to impose VAT in securities in China. At the early stage of reform, a low tax rate such as 11% or 6% is preferred.If taking EU tax-exemption method with suitable improvement and using 6% as VAT rate, the turnover tax burden of securities companies, the urban construction tax, and education surcharges will decline with income tax burden rising, which leads to a downward trend of overall tax burden. If using 3% as VAT rate, the overall tax burden in securities industry will decline too.There are already sufficient reasons and conditions to conduct the policy "imposing VAT not business tax" on securities industry in China, and it is an irresistible trend to impose VAT. |
