Tax System and the Riddle of China's High Investment:From Tax Sharing to Tax Structure
The tax structure,like tax sharing,as an important component affecting local government tax revenue,also has an incentive effect on local governments to intervene in the economy,thereby determining the regional economic development model.This paper analyzes the impact of tax structure on regional investment,empirical analysis shows that:the tax structure dominated by indirect taxes promotes regional investment by encouraging local governments to guide the development of secondary industry.Further analysis shows that,under the incentive of tax structure dominated by indirect taxes,the local government chooses the economic development mode of"heavy investment、light consumption",so it discourages consumption.Moreover,the actual tax structure has exceeded the theoretical optimal tax structure,so its investment incentive effect begins to decline.Therefore,it is necessary to reduce the proportion of indirect taxes in order to reverse the current tax structure dominated by indirect taxes.Specifically,it is necessary to improve the collection system of direct taxes such as real estate tax in order to increase the proportion of direct taxes.At the same time,the VAT rate should be gradually reduced to reduce the proportion of indirect taxes.
万方数据
维普
