The paper "Comparing the Australian Taxation System with the Taxation System in China" is a perfect example of a finance and accounting case study. Tax is the main source of fiscal revenue of China. It is also an important economic tool utilized by the government to support macro-economic regulation, which generates an important effect on China’ s economic and social development. After the tax system reform in 1994 and the constant revision of it in subsequent years, China has built up a tax system compatible with the socialist market economy, which has been playing an important function in guaranteeing China's fiscal revenue, widening the opening to the outside world and promoting the prolonged, fast and healthy development of China's national economy. Types of taxes Under the current tax system in China, there are 25 different types of taxes, which, according to their nature and function, can be divided into the following 8 categories: a) Turnover taxes.
These include 3 kinds of taxes, namely, Consumption Tax, Business Tax and Value - Added Tax. The levy of these taxes is usually based on the volume of turnover or sales of the taxpayers in the circulation, service or manufacturing sectors. b) Income taxes.
These include Enterprise Income Tax (applicable to such domestic enterprises such as state-owned enterprises, private enterprises collectively-owned enterprises, joint operation enterprises and joint-equity enterprises), Income Tax on Enterprises with Foreign Investment and Foreign Enterprises, and Individual Income Tax. These taxes are levied on the basis of the profits gained by dealers or producers dealers, or the income earned by individuals. c) Resource taxes. These include Resource Tax and Urban and Township Land Use Tax.
These taxes are to the people engaged in natural resource exploitation or to the users of urban and township land. These taxes reproduce the chargeable utilization of state-owned natural resources and aim to regulate the various gains derived by taxpayers who have access to the multiple available natural resources. d) Special purposes taxes. These taxes are and Construction Tax, City Maintenance Tax, Farmland Occupation Tax, Fixed Asset Investment Orientation Regulation Tax and Land Appreciation Tax.
Fisher G., 1998, The Australian taxation system: notes for business tax planners, practical tax series, Longman Professional: ISBN0582939380, 9780582939387.
Keating P., 1996, Reform of the Australian taxation system: statement by the Treasurer, Australian Government Publishing Service: ISBN0644044381, 9780644044387
Master Builder’s Federation of Australia, 2004, Review of Australian Taxation System, Master Builders' Federation of Australia.
Edkins J., 2008. The Revenue and Taxation of the Chinese Empire, BiblioBazaar, LLC: ISBN0559259417, 9780559259418.
Chen S. K., 2008, The System of Taxation in China in the Tsing Dynasty, 1644-1911, 3rd Ed., BiblioBazaar, LLC: ISBN0554681528, 9780554681528