Study Of Tax Collection And Management Of Replacing The Business Tax With Value-added Tax On The Banking Sector

From May 1,2016,To replace business tax with value-added tax(VAT)expands to increase the scope of the pilot construction,real estate,financial services and life services.The business tax officially retired from the stage of tax system in our country.From the results of the pilot program,most industries have achieved the effect which lighten the burden on enterprise in a short time,particularly for the medium and long term effect,but it also exposed that problems existing in tax collection and management,such as VAT taxpayer does not adapt the management pattern,some enterprises tax rise in the short term,etc.Our country is in the transition period of replacing business tax with VAT.the tax policies involved banking sector appear frequently,while the policies have a short period of validity.This situation requests tax personnel to update knowledge reserves,but the average age of the current grass-roots staff is too high to learn new things.The grassroots branch faces the challenge of tax collection and management.The banking industry cost structure is very complex,the business innovation changes rapidly,and the tax base approved is very cumbersome,especially the concept of state rate.All these problems bring a lot of difficulties of supervision and law enforcement to the grass-roots tax department.At the same time,loan interest income and interest expenses can’t be included in the VAT deduction chain,the supply and demand side lack of power of mutual regulatory.This also increases the difficulty of regulation.Overall,as new sources of revenue,the Banking industry replacing business tax with VAT put forward higher request of the tax service and professional management to the tax department.This paper first resumes the Tax collection and administration,the early condition of replacing business tax with VAT,the VAT collection model in foreign bank,research on the common ground of the Tax collection and administration.The second,conclusion he changes of tax policy on banking industry in transition period,and research on the change of tax related links,by this way find the effect of policy changes on tax collection.Then the paper analyses cases of tax returns and tax warehousing after replacing business tax with VAT in Jining city banking,summarizes the problems existing in tax source characteristics and tax collection of Jining Banking,analyses causes of these problems,and put forward reasonable suggestions.I hope that this paper will provide reference value for the tax collection and tax management on the banking industry.