An Empirical Study On The Development Of Service Industry And Its Tax Burden In Fujian Province

In China,the broad sense of the service industry is considered the tertiary industry.Since entering the new century,the government has pushed forward the policy of "suppressing the second industry and develop the third industry".Industrial structure of China has undergone tremendous changes.The service industry has developed into an important factor affecting the economic development of China.Therefore,in order to achieve sustained,healthy,stable and orderly development of the national economy,the government must vigorously promote the development of the service industry.Documents of China's "The eleventh Five-Year Plan" and "The twelfth Five-Year Plan" and the "13th Five-Year Plan" documents have developed a special policy on the development of service industry.These policies not only promote the development of China's service industry,but also the development of the entire national economy.In addition,the continuous changes in China's tax policy,especially since 2012 to 2016,"camp changed to increase" policy,which led to a lot of tax problems and tax issues in the service sector.Based on this,the author will study the relationship between the development of service industry and its tax burden.In order to improve the tax policy of the service industry,the conclusion will be applied to the tax reform of the service industry.Firstly,through the above research background,the author chooses the service industry in Fujian Province as the object of model research.This paper analyzes the impact of the tax burden on the development of service industry in Fujian Province.Furthermore,the author hopes to use the result of this study to guide the balanced development of the service industry in each city of Fujian province;Secondly,the author combined with domestic and foreign scholars on the economic development and taxation research to find out the article research ideas,and the author estimates the model through the use of literature research,quantitative analysis,empirical analysis.Finally,on the basis of Barro endogenous economic growth model,this paper uses the panel data of each city in Fujian province from 2005 to 2014 to study the development of Fujian's service industry and its tax burden.At the same time,the author introduces the variable of human capital investment,service capital stock,regional per capital GDP,regional secondary industry GDP,regional fiscal expenditure,regional economic openness and regional urbanization rate in the model.The author puts the eight explanatory variables into the model to analyze the development of service industry.The empirical results show that: First,in recent years,there is aslow trend in the development of service industry in Fujian Province.Second,the tax burden of service industry in Fujian Province has a weakly inhibitory effect on the development of service industry,that is,the tax burden of the service industry is increased by 1% and the service development level of the service industry is reduced by 0.08%.