A Study To Compare The Transportation Industries' Revenues Level Before And After The Renovation-the Sales Taxes To VAT

It's been noticed that the Chinese economy reaches a rapid developing stages starting from the beginning of the 21st century.As one of the major industry,the Transportation businesses have been accomplished substantial and outstanding achievements in the past decades.In recent years especially,as the Chinese Government largely increased the investment on the infrastructures which promotes the modernization process of the Tertiary Industries(Service Industry).The changes of the Chinese Revenue policies from the Sales Taxes into VAT mode was considered the biggest and most important improvement on the taxation business.Apparently the Transportation Industry attracts a lot of attentions from every Government and business level as it's the core industry and was one of the very first industry starts the implementation of the revenue reformations.The changes of revenue policies on the Transportation Industries affect road transportation,railway transportation,air transportation,waterway transportation,pipeline transportation,research&development service and technical support,etc.The reformation of the Chinese Revenue Policies(Sales Taxes to VAT)has broad and major impacts to the Transportation Industries,it's a new and tough assignment across the businesses with no questions.The reformation from the Sales Taxes to VAT on the Transportation Industries is the main trending in this period which,fundamentally meets the requirements of the Chinese economy which needs to be developed in a fast but smooth and stable paces in the new age.Firstly,the article has summarized various literatures,theories relevant to the Transportation Industries;it collects the information and knowledge about VAT and Sales Taxes as well as the reformation of the revenue policies in China and researches from other Countries,it presents the findings of the researches and prepare further discussions related to the revenue transformation from the Sales Taxes style to VAT based on the documentation from pertaining studies.The Taxation Methodology has been used to supported the study.Secondly,the article analyzes the potential impacts of the revenue reformation on the Transportation Industries and presents some significant discussions,provides the comparison of the advantages between the two taxation methods based on the general tax payers and small business owners' stand point;some calculations are also provided in the article based on the typical entrepreneurs' Commodity Turnover Taxes,Income Taxes,and the overall revenues,etc,to help comparing and reviewing the revenue various between the Sales Taxes and VAT,namely the differences before and after the transformation,and trying to show the reasons and factors causing the deviations.Thirdly,the article also offers the recommendations,solutions to the revenue policies in accordance with the current businesses realities,environment and condition from the perspective of the Government's policies and the social and the Transportation Industries'stand points.The article recommends that it may be an good idea for the Government to consider in dropping the taxation to a reasonable level and provide favorable policies to beneficial the businesses;it also suggested that the personnel who actually involves to the accounting and taxation business shall improve the individual's capacity,strengthening the knowledge level and improving the Invoice Management skills,etc;the Transportation Industries should also have a sound and sensible internal management system for the companies,and pay serious attentions to the legitimate of the taxation organization and planning,pay serious attentions to the Management of business Contracts,etc.Last but not least,the article explains that the renovation of the Government's Taxation policies(the replacement of the VAT for the previous Sales Taxes policy)is on the right tracks of the development for the Transportation Industries,the Entrepreneurs should all be involved in a positive manner to support the renovations and helping the business moving forward smoothly without any obstructions.