Research On The Reform Of China's Personal Income Tax System From The Perspective Of Equity

Since the reform and opening up,with the rapid development of the economy,the people's living standards have been improved significantly,and the goal of letting some people get rich first has been achieved.However,the imbalance of income distribution has become prominent,Gini coefficient has been at a high level for many years,which means that the economic foundation of social is still not stable,The disharmony factors in the construction of a harmonious society are still relatively strong,and even affect the smooth and smooth operation of the economy.The persistence of this phenomenon calls for the government's income distribution regulation function to be more fully utilized.In the world,countries generally use personal income tax to narrow the income gap.In order to improve the status quo in China,the government also needs to use taxation,especially personal income tax,to intervene in the distribution process and thus enhance the fairness of society.Since China began to increase personal income tax in 1980,after nearly 40 years of development,personal income tax increased from 160,000 yuan to nearly 1.2 trillion yuan in 2017,and the fee deduction standard for wage income rose from 800 yuan to 5,000 yuan.Although China's personal income tax has undergone decades of reform and development,the degree of perfection of various elements has been greatly improved,but compared with many other countries in the world,it still belongs to an emerging taxation project,tax system design and collection process still has more imperfections and irrationality,and its functions,especially the income distribution function,are still unsatisfactory.In 2018,a new tax bill was introduced.This reform of personal income tax is different from the previous "fine tuning",but a "overhaul" of "retrofit" and has attracted much attention at home and abroad.Therefore,based on this reform,this paper studies the income level of residents before and after the implementation of personal income tax from a fair perspective,analyzes the role of personal income tax in regulating income distribution,and analyzes the current aspects of China's current personal income tax in terms of fairness.Identify the root cause of the problem and suggest optimization.This paper is divided into five parts.The first part introduces the background of the topic,studies the purpose and significance of this topic,lists the views of scholars at home and abroad,summarizes them,clarifies the research methods and research framework,and extracts possible innovations and shortcomings.The second part is the theoretical analysis of tax equity.This chapter theoretically explains the connotation of tax equity and related theoretical perspectives,and provides theoretical basis for relevant research in later chapters.The third part analyzes the reform process and fairness of China's personal income tax system.Through the collection of relevant data,using the Gini coefficient and other tools to analyze the conclusion that China's residents have large income gap and weak tax adjustment,it proves that China must fully improve the current personal income tax system.The fourth part introduces the successful experience of the United Kingdom and the United States in the design of personal income tax equity,and provides relevant experience and reference for China's research and reform of taxation.The fifth part summarizes the weaknesses of China's current personal income tax system and proposes individual improvement suggestions.