The Exploration and Implications of the Function of the Rule of Taxation Law in the Process of Urbanization in United States

Chen Bing, Cheng Qian

Journal of Shanghai University of Finance and Economics Vol. 18, Issue 06, pp. 115 - 127 (2016)

Abstract

"To deepen the reform of fiscal and tax reform" and "to perfect rural-urban mechanism" have a profound internal relationship. Through an observation of the practice of the rule of taxation law during the process of urbanization in U.S., this paper finds that the legal, scientific and specialized operation of tax collection activities can effectively define the boundary of public and private property rights, and guarantee the balance between independent operation of statutory taxation and local autonomy construction, thus objectively promoting local urban development. On the occasion of comprehensively promotion of the rule of law and the construction of China ruled by law, the emphasis of urbanization and the realization of fair and orderly sharing of reform achievement should pay attention to the construction of democracy and the rule of law; and the core element includes political and economic democracy in the framework of the rule of law, namely the construction and implementation of modernized fiscal and tax system ruled by law. Through a historical comparison of foreign experience and the reality in China, it argues that, the dominant position of local governments in fiscal rights in the urban construction, the improvement of social participation in budget management, and the clarification of the central-local administrative authorities by the reform of tax system could effectively broaden and shore up the economic base of urban public services, balance the layer differences of social resources in the primary distribution, and realize the harmonious unification of efficiency and justice of social governance.

Keywords

urbanization; rule of taxation law; United States experience; no taxation without representation; statutory taxation