China's current tax structure was introduced by its 1994 tax reform which holds the most important position in China's modern history on account of its scale and implications. Putting tax system building under the background of market economy, the reform has established a basic framework of China's tax system meeting the requirements of market economy. in its 13 years’ operation, China's current tax system has played a significant role in China's economic and social development. However, some contradictions between current tax system and economic and social environments have arisen. as a result, China's current tax system is facing with the requirement of further reform. Under such a background, launching a new round of tax reform in a timely manner, according to the transformed economic and social environments, has already been included into China's 11th Five-year Plan. This paper discusses the accomplishments of the current tax system and the outstanding issues requiring further reform.