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    Ministry Of Finance: In The Future, We Will Simplify The Value-Added Tax Rate At The Right Time.

    2012/3/27 12:22:00 8

    Grade Of Value-Added Tax

    Cai Chang, director of the tax administration department of Central University of Finance and Economics, pointed out that there are two imperfections in the VAT policy at present.


    Zheng Jianxin, deputy director of the Ministry of Finance and taxation, said on the 26 day of interpreting the VAT reform pilot program.

    VAT reform

    After that, whether the tax rate increase will aggravate the burden of enterprises. In the future, the tax rate will be simplified at the right time according to the needs of reform.


    As one of the key links of China's structural tax reduction, the expansion of value-added tax has been carried out in some areas and industries in January 1st this year. The pilot project of deepening the VAT reform in some areas and industries has been carried out. Shanghai's pportation and some modern service industries have launched the pilot scheme of value-added tax on business tax, which has become the pioneer force in the pilot project of VAT expansion.


    Cai Chang, director of the tax administration department of Central University of Finance and Economics, said that the current VAT test in Shanghai is a very important move.

    Sales Tax

    On the other hand, there are double taxation and unfair tax burden among industries.


    Cai Chang believes that the purpose of this business tax reform is to realize the fairness of tax burden among various industries and reduce the phenomenon of double taxation.

    Judging from the current reform, the first step is to relax the scope of taxpayers. Many aspects of the industry are involved in the tax system reform, and the production related labor services are more intense. For example, the pport industry and modern service industry in the pilot are closely related to production. The tax burden brought by the reform on these industries is reduced, and the fairness of the tax burden is reflected in this reform, all of which are taxed with the added value realized.


    Cai Chang also pointed out that

    Value added tax policy

    At present, it is still in an immature state, and its immaturity is reflected in the following aspects. First, the pformation of value-added tax is not thorough. The current reform is only aimed at the tax deduction of fixed assets of equipment, but not the fixed assets of equipment.

    Second, the balance of tax burden is reflected in the industry. The large deviation of tax burden is also not conducive to the future tax system reform and national economic development. If reform is extended to the whole country, it is necessary to measure the changes of tax burden in various industries in the current reform.

    Therefore, as a tax reform pilot, Shanghai needs to identify problems and solve them. Otherwise, if the tax reform is extended to the whole country, it will be more difficult to solve the problem.

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