China News Agency, Beijing, June 14 (Reporter Zhao Jianhua) The General Office of the State Council of China recently issued the "Guiding Opinions on Further Promoting the Reform of the Financial System Below the Province" (hereinafter referred to as the "Guiding Opinions"), proposing five reform measures: clear Define sub-provincial financial powers and expenditure responsibilities, straighten out the inter-governmental revenue relationship below the provincial level, improve the sub-provincial transfer payment system, establish and improve the sub-provincial financial system adjustment mechanism, and standardize sub-provincial financial management.
The relevant person in charge of the Ministry of Finance (hereinafter referred to as the person in charge) said on the 14th that as an extension of the financial relationship between the central and local governments, the reform of the financial system below the provincial level in some regions is relatively lagging behind.
The reform adheres to the principles of adapting measures to local conditions, encouraging compatibility, seeking progress while maintaining stability, and maintaining integrity and innovation.
The Ministry of Finance will do a good job in the implementation of the "Guiding Opinions", guide local financial departments to carry out research and analysis seriously, formulate reform plans that are in line with local conditions, scientifically and rationally, strengthen the systematic planning and overall design of reform plans, and ensure that various reform measures are implemented and effective. .
Regarding the rationalization of the inter-governmental income relationship below the province, the "Guiding Opinions" pointed out that the income should be divided according to the attributes of tax categories, the method of income sharing should be standardized, and the provincial-level regulatory capacity should be appropriately enhanced.
The person in charge said that under the premise of not distorting the market, governments at all levels should be able to obtain stable income.
Income with strong liquidity, uneven distribution and high volatility in the tax base is more suitable as provincial income or a higher proportion of provincial income.
It is more conducive to give full play to the management advantages of cities and counties if the income with a stable tax base and obvious geographical attributes is regarded as the income of cities and counties, or a higher proportion is shared by cities and counties.
Finance, electricity, petroleum, railways, highways and other industries operate across regions, but the income payment is relatively concentrated. If all their income is reserved for the place where the enterprise is registered, the income gap between regions will be exacerbated, and it is also easy to affect the county and district due to income fluctuations. Fiscal smooth operation has an impact.
The "Guiding Opinions" proposes that taxes and fees in the fields of finance, electricity, petroleum, railways, highways, etc., can be regarded as provincial-level income, and can also be reasonably distributed among relevant cities and counties.
After the 2002 income tax revenue sharing reform, the practice of dividing income according to corporate affiliation has been abolished in most regions, but some places still continue this practice.
The person in charge said that this is likely to cause local governments to intervene in the business behavior of market entities to protect tax sources, which is not conducive to maintaining a fair and competitive market environment.
To this end, the "Guiding Opinions" propose that, in addition to the operating income of state-owned capital turned over to the government according to regulations, the practice of dividing intergovernmental income according to the affiliation of enterprises should be gradually reduced or eliminated.
The "Guiding Opinions" also pointed out that the county-level "three guarantees" guarantee mechanism should be implemented.
The person in charge said that county-level finance is the foundation of national finance. To ensure the smooth operation of county-level finance, it is not only necessary to ensure that there are no problems in the current period, but also to make long-term plans in times of peace. A solid and long-term financial guarantee mechanism at the county level shall be established, and the foundation of county-level financial operation shall be firmly established and consolidated, and the national financial operation shall be placed on a long-term stable and reliable foundation.
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