A Study On The Influencing Factors Of Tax Evasion In China

In recent years,in order to deter tax related violations,the tax authorities has vigorously implemented the illegal "blacklist" and the joint disciplinary system,which has reduced the tax evasion behavior to a certain extent.However,the phenomenon of tax evasion is still serious in our country.The scale of tax evasion is large,and it is difficult to investigate and deal with.Tax evasion causes the loss of financial revenue,interferes with the normal operation of the economy and is not conducive to economic development.Through theoretical analysis and case analysis,this paper tries to explore the main factors that affect the tax evasion,and then proposes countermeasures on tax evasion's prevention.First,this paper introduces the main influencing factors of tax evasion from the perspective of theory,including taxation,tax collection and tax control environment,and introduces the expected utility theory,game theory,and prospect theory.Secondly,this paper analyzes the current situation of tax evasion in China,introduces the situation of tax inspection in tax evasion and some scholars' estimation of the scale of tax evasion in China's open economy.On this basis,selects tax evasion case in the past five years as the major analysis object,briefly describes the basic case,and summarizes the main modus operandi of tax evasion,including setting up a shell company with false identity,falsely making out VAT special invoice,corporate entities which have the real invoice without real transaction falsely make out VAT special invoice,setting up two sets of accounts to hide income,false listing of costs,and so on.Thirdly,through the analysis,it is concluded that the tax evasion behavior is affected by the taxation,tax collection and tax control environment.The taxation mainly includes the unreasonable division between the general taxpayer and the small-scale taxpayer,the excessive preferential tax policy and the unreasonable tax preferential policies.Tax collection mainly includes loopholes in daily management of tax authorities,lax enforcement,insufficient punishment,information asymmetry,and imperfect VAT special invoice management system.The tax control environment mainly includes the weak legal consciousness of the taxpayer,the unsatisfactory tax environment,and the deficiency of tax protection and assistance.Finally,according to the analysis,puts forward the countermeasures of tax evasion's prevention,such as perfecting taxation system,strengthening the daily management,strengthening information construction,strengthening punishment,strengthening tax propaganda,reducing government intervention,establishing the mechanism of tax protection and assistance.