"Tax reduction" refers to reducing the burden on taxpayers through tax relief measures, mainly involving value-added tax, corporate income tax, personal income tax and other taxes; "Fee reduction" refers to reducing the burden of fees, involving administrative fees, government fund income and social insurance fund contributions. In recent years, China has made great achievements in reducing taxes and fees. From 20 13 to 202 1, the tax authorities increased tax reduction and fee reduction by 8.8 trillion yuan, and China's macro tax burden decreased from 20 18.7% to 20 1, especially 20 1%. Since the beginning of this year, tax reduction, fee reduction and tax refund have increased by more than 3.4 trillion yuan. It is estimated that the annual tax rebate will be about 2.64 trillion yuan, and the policy dividend will be further released. The policy of tax reduction and fee reduction has promoted a new round of fiscal and taxation system reform, improved the modernization level of tax governance system and governance capacity, helped to build a new development pattern, and injected strong impetus into high-quality development.

Reducing taxes and fees is a tax policy with China characteristics. It is an important policy means to promote economic transformation and upgrading, stimulate the vitality of market players, reduce the burden of market players and stabilize market expectations. Providing important policy support for promoting high-quality economic development is of far-reaching significance for realizing the modernization of the national governance system and governance capacity.

Stimulate the vitality of market players. Tax relief is conducive to "making a big cake" in production and exchange, promoting the smooth flow of commodity elements, improving the efficiency of resource allocation, further consolidating and expanding the advantages of market resources, and building an efficient, standardized, fair and open national unified market. On the one hand, reducing taxes and fees can reduce the institutional transaction cost of enterprises, make enterprises have more capital to invest in expanding reproduction, and help to exert the investment multiplier effect and form a virtuous circle. Especially for small and medium-sized enterprises with a large number and wide distribution, the introduction of large-scale tax reduction and tax extension measures will help alleviate their problems such as lack of funds and weak ability to resist risks. On the other hand, tax reduction and fee reduction affect the costs and profits in some areas by changing the relative prices of commodities, prompting enterprises to pay more attention to improving enterprise efficiency through industrial structure upgrading and innovation-driven development, and help supply-side structural reforms, thus realizing the overall leap of social productivity.

Promote the realization of the goals of * * * and prosperity. Reducing taxes and fees will help to "share the cake" in the distribution process and realize the development results to benefit all the people. Use the tax redistribution function to increase the personal income tax exemption, reduce the tax burden of low-and middle-income people, increase the per capita disposable income, and incite consumption growth. According to the specific situation of different families, we will implement more accurate policies and measures, increase the special additional deduction of personal income tax, and respond to the concerns of the masses in a timely and effective manner. Through the "subtraction" of government revenue, we can exchange the "addition" of per capita disposable income and the "multiplication" of social consumption, meet the people's growing needs for a better life and pave the way for prosperity.

Promote the modernization of national governance capacity. The policy of tax reduction and fee reduction is helpful to further rationalize the relationship between the government and the market, the division of tax rights between the central and local governments, and the relationship between countercyclical adjustment and cross-cyclical adjustment. The implementation of the new comprehensive tax and fee support policy, tax reduction and tax refund simultaneously, and the tax refund funds directly go to enterprises, which is conducive to creating a market environment with free flow of factor resources and fair competition, and reducing the interference and distortion of tax on the market mechanism. After comprehensively pushing forward the pilot reform of the camp, we will continue to maintain the "50-50 share" ratio of the central and local tax divisions of value-added tax, return the consumption tax collection link, steadily demarcate the localities, and expand local sources of income. Through the adjustment of taxes and fees, the balance between total social supply and total demand can be achieved, and the organic combination of short-term deferred payment of taxes and fees and long-term tax reduction and fee reduction can strengthen the countercyclical and cross-cycle macro-control function, smooth economic fluctuations, keep market expectations basically stable, and achieve a long-term balance between steady growth and risk prevention.

legal ground

Individual Income Tax Law of the People's Republic of China

second

The following personal income shall be subject to personal income tax:

(1) Income from wages and salaries;

(2) Income from remuneration for labor services;

(3) Income from remuneration;

(4) Income from royalties;

(5) Operating income;

(6) Income from interest, dividends and bonuses;

(7) Income from property lease;

(8) Income from property transfer;

(9) Accidental income.

Individual residents who obtain income from items 1 to 4 of the preceding paragraph (hereinafter referred to as comprehensive income) shall calculate individual income tax according to the tax year; Non-resident individuals who obtain income from items 1 to 4 of the preceding paragraph shall calculate individual income tax on a monthly or itemized basis. Taxpayers who obtain income from items 5 to 9 of the preceding paragraph shall calculate individual income tax separately in accordance with the provisions of this law.