The Impact Of The Reform Of The Value-added Tax System On The Tax Burden And Profits Of Oil Companies

With the deepening of China's economic development and reform and opening up,our tax system also needs to continue to improve to keep pace with economic development and reform,as one of the three tax VAT has now evolved into the largest turnover taxes taxes,and reform of the tax system is more frequent.Petrochemical industry is an important pillar industry of the national economy,its resources,capital and technology-intensive,industrial connection is very high,a large economic size,to promote industrial upgrading and economic growth have an important role,the relationship between the economic lifeline of the country.Combining with the characteristics of China's petroleum and chemical industry of its own,China Petroleum and Chemical Corporation was selected as a case analysis of tax system reform's influence on oil companies,mainly VAT and camp to increase oil company taxes and operating results of impact.Firstly the history of theory with value added tax,VAT,then theoretically the VAT reform's impact on the enterprise.Combined with Sinopec since 2007 financial data to validate the theoretical analysis,analysis of VAT tax increases as well as modification on Sinopec and the impact of operating results.Through the analysis,this paper argues that the transformation of value-added tax to bring Sinopec lightening effect of increased profits,business for Sinopec increase the overall tax burden has not been modified significantly,but to some extent through reduced costs and increased profit margins.Finally,suggested that the Government should perfect the VAT method for oil-gas field enterprises,and on the perspective of Sinopec proposed a new programme of tax planning and its development plan.