What do you mean by "camp reform"

What does the camp reform mean? What's the impact on us? Are you equally confused? Dear me, I have carefully prepared the relevant contents of the camp reform for you, hoping to help you! What do you mean by more camp reform? Please stay tuned for this column!

What does it mean to change business tax to value-added tax?

Business tax refers to a tax levied on the turnover of units and individuals that provide taxable services, transfer intangible assets or sell real estate in China.

Value-added tax refers to a tax levied on the value-added realized by units and individuals selling goods or providing processing, repair and replacement services and importing goods.

In fact, the reform of business tax is to change the taxable items that originally paid business tax into value-added tax, that is, to pay taxes on the value-added part of products or services, thus reducing the link of repeated taxation.

Value-added tax was levied in France from 65438 to 0954. Because it effectively solved the problem of double taxation of traditional sales tax, it was quickly adopted by other countries in the world. At present, more than 170 countries and regions have levied value-added tax, and the scope of taxation mostly covers all goods and services.

China introduced the value-added tax in 1979, and at first it was only tried out in five types of goods such as machinery in Xiangfan, Shanghai and Liuzhou. 1984, the State Council issued a draft value-added tax bill, which imposed value-added tax on machinery, automobiles, steel and other 12 goods nationwide. 1994 the tax system reform expanded the scope of value-added tax to all goods and processing, repair and replacement services, and levied business tax on other services, intangible assets and real estate. In 2009, in order to encourage investment and promote technological progress, on the basis of regional pilot, the reform of value-added tax transformation was fully implemented, and machinery and equipment were included in the scope of value-added tax deduction.

At present, China is in a critical period of accelerating the transformation of economic development mode, and vigorously developing the tertiary industry, especially the modern service industry, is of great significance to promoting economic restructuring and improving the country's comprehensive strength.

According to the requirements of establishing and improving the fiscal and taxation system conducive to scientific development, the change of business tax to value-added tax is conducive to improving the tax system and eliminating double taxation; It is conducive to social specialization and promotes the integration of three industries; It is conducive to reducing the tax cost of enterprises and enhancing the development ability of enterprises; It is conducive to optimizing the investment, consumption and export structure and promoting the healthy and coordinated development of the national economy.

I wonder if this article has made your doubts less? If you still don't understand, please have a look at the recommendation, which will definitely help!