Analysis Of Economic Effects Of China's Tax System Reform And Improvement

Since reform and opening,China's economy has maintained rapid growth,its GDP ranks second in the world.With the continuous improvement of economic level,people's demand of economy has gradually changed from quantity to qualitative development.Taxation is not only the main source of revenue of one country's government,but also an economic means to adjust the allocation of resources and income distribution.Therefore,it is very necessary to explore a reasonable tax structure which matches the economic development.First of all,this thesis makes some concluding generalizations about the tax structure and economic growth,gives people a preliminary understanding of the importance of Taxation to economic development and the necessity of tax reform,then introduces the tax reform process and the convergence point of the current tax system in the developed countries of the four different continents,such as the United States of North America,the UK of Europe,Japan of Asia,and Australia of Oceania,also with some experience and enlightenment.Next to it,I make an in-depth analysis of the background and measures of the course of tax reform since the reform and opening up in China and summarize the characteristics of the current tax system and some insufficiencies.Then,with per capita green GDP as a measure of economic development,the regression analysis of the econometric model is carried,and the impact of the recent tax reforms on the economy after the latest round of tax reform is obtained.The value-added tax and consumption tax in the current tax system have a positive effect on economic development,while sales tax,personal income tax and corporate income tax have negative effects.Finally,according to the conclusion and experience,the paper puts forward the direction and feasibility of the next round of tax reform of China.The research content of this paper has an important reference value for the deep understanding of the current tax system on the economic development and formulates the policy of the tax reform in the future.