Research on the Impact of Shifting the Collection Stage of Passenger Vehicle Consumption Tax to Retail and Decentralizing Revenue to Local Governments

DOI

10.2991/978-94-6463-770-0_84How to use a DOI?

Keywords

Passenger vehicles; Consumption tax; Collection stage; Revenue decentralization

Abstract

This paper systematically investigates China’s reform to shift the collection stage of passenger vehicle consumption tax from production to retail and decentralize revenue to local governments. It identifies institutional flaws in the current production-stage taxation model, including tax base erosion, weakened regulatory functions, and regional fiscal imbalances. The study demonstrates the necessity of the reform through a three-dimensional framework of tax system optimization, economic efficiency, and policy effectiveness. Projections show that the reform will effectively increase local fiscal revenue, optimize urban governance through a “tax-service” virtuous cycle, and establish a modern consumption tax system that fosters positive interaction between consumption-based taxation and local governance.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Guowei Li
PY  - 2025
DA  - 2025/06/26
TI  - Research on the Impact of Shifting the Collection Stage of Passenger Vehicle Consumption Tax to Retail and Decentralizing Revenue to Local Governments
BT  - Proceedings of the 2025 3rd International Conference on Digital Economy and Management Science (CDEMS 2025)
PB  - Atlantis Press
SP  - 747
EP  - 751
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-770-0_84
DO  - 10.2991/978-94-6463-770-0_84
ID  - Li2025
ER  -