Analysis Of Household Production Of Personal Income Tax

Personal income tax is a direct tax on the taxation of individual income derived from natural persons.China's personal income tax law was formally implemented in1980 and has undergone six important amendments in the following 30 years.At present,China's personal income tax revenue keeps increasing every year,and the proportion of the entire tax is also becoming increasingly prominent.With the increasing economic incentive effect of reform and opening up,the income gap between the rich and the poor has widened.Based on this background,the urgent expectation of the entire society for the reform of the income distribution system has reached an unprecedented height,and the positive role of personal income tax in regulating income distribution has also been infinitely amplified.Various sectors of society have focused on the reform of individual income tax.The problem of tax units as the basic content of taxation elements directly affects the entire personal income tax system,so the selection of tax units has become an important issue in personal income tax reform.The selection of tax units is a key issue in the personal income tax system.It not only determines the system design issues of the specific elements such as the collection threshold,tax rate,and fee deduction standards,but also affects the living standards and tax payment satisfaction of our residents.Our country's personal income tax system has always defined the tax unit as an individual.On this standard,it has determined an exemption amount of 3,500 yuan and a multi-stage progressive tax rate,and has imposed taxation on individuals as a collection principle.However,it ignores the personal consumption situation and the taxpayer's ability is not only affected by their own income and expenditure,but also by the family's situation.The taxpayer's living expenses after marital pre-marital differences are very different.Whether both husband and wife have economic income after marriage,the number of children needing to be raised and the number of old people will affect the individual's ability to pay taxes.In view of the fact that there are many differences in family forms in our society,we should incorporate family variables into the category of personal income tax considerations.The taxation model used by many Western countries is worth our country's reference.In order to maximize the consideration of the taxpayer's real tax-paying ability,this article advocates that the state should formulate a personal income tax reform plan that uses households as tax units.This article first analyzes the current situation and problems of personal income tax system in China as an individual tax unit.Secondly,introduce the characteristics of the two tax systems and compare them.In the form of tax system simulation,the family declaration system can better reflect the principle of horizontal and vertical taxation.The individual income tax collection model based on family is more in line with the principle of “quantity,taxation,and fair taxation”,making the article more convincing.On this basis,the article conducted an in-depth analysis of the feasibility of the family declaration system in China,taking the development of the family structure and family ideology as the starting point,and redefining the scope of the principles for calculating and paying taxes and benefits,demonstrating that the family declaration system is extremely high feasibility.Then,it proposes the direction of individual income tax reform based on family taxation,and gives China's personal income tax system advice on reforming household tax units.