Tax Burden Research Of Business Tax Reform VAT On Sichuan's Hydropower Development Company

The end of 2011,the Ministry of Finance and the State Administration of Taxation jointly issueda document onnotice of pilot scheme for the business tax reform VAT.January 1,2012,the business tax reform VATimplement the pilotin some cities and some industries.May 1,2016,the construction industry,real estate,finance,life services,all included in the pilot range,markingthe business tax reform VAT implementedfully in China.Thebusiness tax reform VATis another major taxation system reform in Chinaafter the VAT transformation in 2009.Any tax system reform will have an impact on corporate tax burden.Sichuan is the largest province of water resources in China.Since the end of the last century,hydropower development into the rapid development period in Sichuan,some experts put forward the existing tax system is not conducive to hydropower development,VAT reform should be implemented as soon as possible to promote China's hydropower construction.Yalong River Hydropower Development Company,Ltd.(Yalong Hydro)is in Sichuan Province,first unit of Yalong Hydro power generation in 1998,as of September 2016,the total installed capacity of Yalong Hydrohas reached 14.7 million kilowatts.The first,this paper introduces the Sichuan hydropower resources,Sichuan hydropower development overview,and the development of Sichuan hydropower significance.Secondly,it analyzes the tax policy and tax burden of the hydropower enterprises in Sichuan Province.Then this paper studies the influence mechanism of the business tax reform VATon the tax burden of hydropower development enterprises in Sichuan.Thirdly,the calculation the tax Burdon of the Yalong Hydro before and after the business tax reform VAT.As a result,it was found thatthe business tax reform VAT wasnot fully implemented,its effectof the tax burden reduction inYalong Hydro was very limited.In turn,this paper measures the effect of the tax burdenin Yalong Hydro from 2012 to 2015,ifthe business tax reform VAT was fully implemented.Finally,on the basis of the above analysis,this paper puts forward some suggestions for hydropower enterprises to strengthening the tax administration and improve government tax policy.Hoping to provide some reference for the relevant theoretical research and practice.