In the modern capitalistic state, the income tax plays a principal rore in the tax hierarchy system of the modern capitalistic state. Because the income tax can satisfy a financial resources by ensuring an enormous taxes which is received by taxpayers...
In the modern capitalistic state, the income tax plays a principal rore in the tax hierarchy system of the modern capitalistic state. Because the income tax can satisfy a financial resources by ensuring an enormous taxes which is received by taxpayers and it can come to true a fair tax imposition and the function of income redistribution through the method the progressive tax rate's structure and the vertical fairness.
In our country from 1960, the cast of finances have played a greater enlargement in the driving of economic development planning. And the result, taxpayer's imposition have become heavy. From the 1980, although the relative importance of direct taxes have become more burdensome, it brings out an economic, social discord, Which explains an equality of income and wealth that accompanies by an economic development.
In compliance with above explantion, to continue an economic growth and tl realize a financial resources, income redistribution and the principle of capable burden, the government have converted an old classified incone system into a synthetic income system in 1975. But, today's income tax structure have many problems in the principal function which explain fairness security and income redistribution.
Therefore, in this syudy, I suggested the method of improvement, which is clas sified by the two method. the one is the improvement of income tax structure, the other is the improvement of rational tax imposition.
In the problems of fairness security in a tax imposition, for the most part of the discussion of personal income tax structure is constituted of the vertical fairness which levy a heavy tax on high income obtainer. But the complaint of the income tax structure have lain an unfairness of tax burden as well as tax burden in itself. We must materialize the problem in the security of the horizontal fairness in the future.
To comply with above methods, the income of financial assets which is consisted of the majority of low tax rate must impose a synthetic income tax and the income from personal service's problem which rise to social discontent bcause of excessive collection must solve the following method-the reduction of income from personal service's scope and the deduction of tax amount.
Also, to realize a horizontal fairness the levity to the capital and property income must more reinforcing than this time. To secure the rationality in the one is the improvement of documentary statement standard's rate which is far from the principle of substantial imposition owing to the conveience of tax collection and administration, the conveience of tax collection and administration, the other is dedution of the necessary expenses in interst income computation and the retroactive deduction of the deficit.
Also, it must have improved the irrational computation structure in the computation of thje business, creation income and alleviate the exclusion of the income deduction to the person who does not report in tax.
The success of the tax structure lies the improvement of partially irrational system by observing real tax envionment as well as sincere law abiding of taxpayers, the support of tax administration rationally and scientifically. And the result, we can highten the confidence in the tax structure and achieve the goal which the tax pursue.