Problems and Improvement of the Special Additional Deduction System of Personal Income Tax

Abstract

The new individual income tax law was officially implemented in 2019, and one of the highlights is the new six special additional deduction policies. The emergence of the special additional deduction policy aims to solve the problems of people's livelihood, reduce the tax burden of the people, and achieve social equity. At this stage, various special additional deduction policies have been implemented in various places. While achieving certain results, the disadvantages of the policy have become increasingly prominent. The policy still needs to keep pace with the times, spit out the old and accept the new. This paper will analyze the problems existing in the implementation of the special additional deduction system of personal income tax at this stage, draw lessons from foreign beneficial experience, and combine social reality to put forward scientific and feasible suggestions for improving the special additional deduction system.