The New Round of Deepening Tax Reform in China
DOI:
https://doi.org/10.6981/FEM.202411_5(11).0005Keywords:
Tax Reform; Direct Taxes; Indirect Taxes; Deepening Reform; Modernization.Abstract
In July 2024, the Third Plenary Session of the 20th Central Committee of the Communist Party of China charted a new course for China's tax reform. The reform of China's tax system has progressed through three key phases: the initial phase following the commencement of the reform and opening-up, the phase of establishing a socialist market economy, and the phase of comprehensive deepening of reforms. After a series of reforms, the current tax structure exhibits a high proportion of indirect taxes and a relatively low proportion of direct taxes, which undermines the tax system’s capacity to adjust income distribution and promote macroeconomic growth. Therefore, the future trajectory of China's tax reform should prioritize increasing the share of direct taxes, with a particular focus on reforming the corporate income tax, personal income tax, and property tax systems.
Downloads
References
[1] Cui Wenyuan. Research and Exploration of Tax System Reform for Chinese Modernization [J]. Taxation Research, 2023,(09):101-107.
[2] Dai Zhixin, Gao Hongyu, Zhang Bowen, et al. Research on Tax System Reform from the Perspective of Chinese Modernization [J]. Public Finance Science, 2023,(03):13-24.
[3] Dou Qinghong, Feng Wenyun, Hao Dongjie. The Effect of Indirect Taxes on Common Prosperity and Improvement Strategies [J]. Taxation Research, 2023,(08):117-126.
[4] Gao Peiyong. Forty Years of China's Fiscal and Tax Reform: Basic Trajectory, Experience, and Laws [J]. Social Science Digest, 2018,(11):41-42.
[5] Han Shaochu. The Three Major Achievements of Tax System Reform since the Reform and Opening-up [J]. Taxation Research, 2021,(06):110-111.
[6] Han Yiduo, Chu Deyin, Ji Fan. Tax System Reform in the Context of Chinese Modernization: Significance, Principles, and Pathways [J]. Taxation Research, 2023,(09):13-19.
[7] Jiang Mingyao. Optimization of Tax Structure in the Context of National Governance Modernization [J]. Taxation Research, 2021,(08):113-117.
[8] Li Hua. The Course and Major Experiences of Tax System Reform since the 18th National Congress of the Communist Party of China [J]. Public Finance Science, 2022,(09):42-51.
[9] Li Xiangju, He Na. Research on Tax System for Overcoming the Middle-Income Trap: From the Perspective of Expanding the Proportion of the Middle-Income Group [J]. East China Economic Management, 2019,33(02):5-13.
[10] Lv Wei, Zhou Jiayin. The Logic of China's Tax System Reform: Discussing the Direction of the New Round of Tax Reform [J]. Comparison of Economic and Social Systems, 2021,(05):20-28.
[11] Xu Jin, Chen Zhigang, Xiao Jie. Analysis of the Fairness Logic of China's Tax System Reform [J]. Contemporary Economic Research, 2018,(12):75-82.
[12] Yang Moru. Seventy Years of China’s Tax System Reform: Retrospect and Prospect [J]. Taxation Research, 2019,(10):29-35.
[13] Zhao Shubo. The Great Achievements, Successful Experiences, and Future Prospects of China’s Tax System Reform since the Reform and Opening-up [J]. Management World, 2021,37(10):26-40.
[14] Zhu Xuyang, Ma Caichen. Research on Tax Structure Optimization to Promote the Increase of Direct Taxes [J]. Taxation Research, 2023,(11):61-68.
Downloads
Published
Issue
Section
License
Copyright (c) 2024 Frontiers in Economics and Management
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.