Improving The Collection And Management Mechanism Of Individual Income Tax Combining Comprehensive And Classification

At present,China’s economy is developing rapidly,and its total economic volume has leapt to the second largest economy in the world.However,at the same time,the gap between rich and poor is widening,and the problem of uneven distribution of social wealth is also increasing.As an important tool for the state to adjust income distribution,personal income tax naturally has the function of narrowing the gap between the rich and the poor and alleviating the uneven distribution.However,for a long time,the deficiencies of the tax system of personal income tax in our country have seriously restricted its regulatory role.Individual income tax,whether in the system itself or in the collection and management mechanism,must be deeply reformed in order to adapt to the new national conditions.On January 1,2019,the new Personal Income Tax Law was formally promulgated and implemented,which transformed China’s personal income tax from a classified collection model to a comprehensive and classified combination model.The introduction of the new personal income tax law has effectively alleviated many drawbacks of the original tax system,but at the level of collection and management,it is facing more severe challenges.Improving the collection and management mechanism matching the new tax system also decides the effect of the reform of personal income tax system in essence.Firstly,three types of individual income tax collection and management modes are introduced.Through the comparative analysis of the principles of establishing the collection and management modes and the characteristics of the three collection and management modes,the practical necessity of the current transformation from the collection of classified classes to the combination of classification and synthesis is concluded.Secondly,by comparing the characteristics of individual income tax collection and management under the new and old modes,and combining with the reality of tax collection and management in China,this paper summarizes the difficulties of the current implementation of integrated and classified individual income tax collection and management;thirdly,by comparing and drawing lessons from the relevant system design and collection and management experience of Japanese and American individual income tax,it puts forward to improve the personal income of integrated and classified combination in China.Some suggestions on tax collection and management mechanism include perfecting tax system,standardizing withholding management,optimizing tax collection and management system,promoting information sharing,strengthening tax law propaganda,doing a good job of classification guidance,improving credit mechanism,improving tax environment,promoting tax-related services and strengthening tax inspection.At the beginning of the promulgation of the new Personal Income Tax Law,a large number of documents related to personal income tax have been published frequently,lacking relatively stable policy environment and mature practical experience for reference.The proposed measures have certain subjectivity and one-sidedness.I hope that the author’s limited thinking can provide some reference for the improvement of the collection and management mechanism of personal income tax in China.