01975cas a2200265 a 4500 AALejournalIMF008633 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451854855 1018-5941 BD-DhAAL BD-DhAAL Singh, Raju. Taxation Reforms and Changes in Revenue Assignments in China / Raju Singh, Ben Lockwood, Ehtisham Ahmad. Washington, D.C. : International Monetary Fund, 2004. 1 online resource (25 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students The value-added tax (VAT) in China has the unusual feature that capital goods are included in the VAT base. In addition, most services are subject to the business tax, which is not creditable against VAT, but which accrues to local governments, and operates as a turnover tax. On grounds of economic efficiency, it would be desirable to eliminate these distortions so that domestic producers are not increasingly placed at a disadvantage as China dismantles tariff and nontariff barriers on competing goods. Reforming indirect taxation would however generate considerable revenue losses for local governments and, in the absence of any compensatory mechanisms, there would be significant impediments to the needed reforms. This paper focuses on the extent of revenue losses, their distribution across provinces, and possible options for compensation. Mode of access: Internet Ahmad, Ehtisham. Lockwood, Ben. IMF Working Papers; Working Paper ; No. 2004/125 Full text available on IMF http://elibrary.imf.org/view/journals/001/2004/125/001.2004.issue-125-en.xml IMF e-Library