Release:
2020, Vol. 6. № 2 (22)About the author:
Dmitry G. Bachurin, Cand. Sci. (Jur.), Leading Researcher, Department of Financial, Tax, Banking and Competition Law, The Institute of State and Law of the Russian Academy of Sciences (Moscow); 01ter@mail.ruAbstract:
The article is devoted to the legal aspects of improving VAT in the People’s Republic of China. In fact, this is the first attempt to comprehensively study the VAT law, which has passed a nationwide discussion and is awaiting adoption by the highest government body of the PRC.
Changes in national taxation models in the face of increasing turbulence in the global economy highlight the topic of this work, since taking into account the main trends in the legal regulation of value added taxation of the world’s largest VAT economy is important for understanding the possibilities for developing such a system in the Russian Federation.
The subject of research is the transformation of regulatory legal regulation of taxation in the PRC on the basis of progressive improvement of tax legislation.
As the immediate practical tasks to be solved by the country’s leadership in this sphere of public relations, the reduction of the tax burden of the economy and the re-registration of tax law institutions were noted.
The research methodology is based on the use of system analysis and dialectic techniques. The studied financial and legal object is considered as a structurally designed description of a complex dynamic system in its movement and development.
In the framework of comparative law, an attempt was made to identify the basic laws of the legal evolution of the normative regulation of VAT. Attention is drawn to the fact that the main characteristics of the new Chinese VAT correspond to the system of conceptual principles put forward by the OECD, among which the leading role is played by the principle of neutrality of this type of taxation.
In the final part of the work, conclusions are drawn that the proposed tax law of the PRC has a two-level structure, including a wide range of reference norms and by-laws. At the same time, comprehensive measures undertaken by the leadership of the People’s Republic of China in the field of legal regulation of VAT strengthen the country’s socio-economic development opportunities, stimulating entrepreneurs to expand their production.
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