What is Tax Debt?

Tax debt refers to the legal relationship that a country or local government that is a tax creditor may request a taxpayer that is a tax debtor to fulfil tax obligations. In this legal relationship, the national or local government is the creditor, the national (taxpayer) is the debtor, the right enjoyed by the national or local government is to request the national to fulfill its tax liability according to law, and the national (taxpayer) is obliged to respond to the national or local government. Request to fulfill tax obligations.

Tax debt

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Tax debt

The creation of tax debt, also known as the establishment of tax debt, refers to the establishment of the tax debt relationship between the parties involved.

Regarding the timing of the tax debt,

Tax debt relationship refers to the legal relationship between the tax creditor and the tax debtor regarding the occurrence, change and elimination of tax debt. One party to a tax debt relationship is a tax creditor and the other party is a tax debtor.

(1) The so-called tax creditors of tax creditors refer to the taxes stipulated by the tax entity law

The effect of tax debt refers to the obligation of the tax debtor to pay something or not to other behaviors, and tax legal liability as a means to enforce obligations also belongs to the scope of tax debt effectiveness. According to this, the effectiveness of tax debt is reflected in the following three aspects:

Payment obligation The payment obligation is the main obligation of the tax debtor, and it is the core content of the effectiveness of the tax debt. It refers to the behavior of the tax debtor to pay taxes and the transfer effect of the tax ownership. The obligation to pay has two meanings: one is the payment behavior, that is, the behavior of the tax debtor to pay the tax, is a reflection of the dynamic perspective of the effectiveness of the tax debt; the second is the payment effect, that is, the property benefits reflected by the tax are paid by the tax. The transfer of debtors to tax creditors is a reflection of the static perspective of the effectiveness of tax debt. Obligation to pay is a basic obligation inherent to tax debts and used to determine its type. The payment obligation in the tax debt law should be renamed the tax obligation in the tax procedure law, which is the main obligation of the taxpayer.

2. Other obligations. Due to the high public welfare and non-payment of taxes, in order to ensure the realization of the country's tax credits, in addition to fulfilling the core obligation of tax payment obligations, tax debtors should also perform other related obligations. These obligations mostly belong to Obligations in tax procedure law, which constitute other tax law obligations of the tax debtor in tax procedure law. Other obligations of tax debtors mainly include: the obligation to accept management (obligation to handle tax registration, the obligation to set up and use books and vouchers, the obligation to pay tax returns, etc.), the obligation to undergo inspection (also known as the obligation to cooperate or tolerate, such as accepting investigations, inquiries , Obligation to seize property, etc.), obligation to provide information, obligation to withhold, etc. The fulfillment of other obligations will bring benefits to tax creditors and help them meet their benefits to the greatest extent, but it is a burden on tax debtors. Therefore, the establishment of other obligations must be clearly stipulated in the law or be based on the principle of good faith or based on administrative sanctions imposed by the taxation authority in accordance with the legal provisions, and the establishment and performance of other obligations are extremely important in the tax procedure law. Important content and features. It should be noted that the obligation to pay and other related obligations constitute a group of obligations in tax law. Its formation and development is an important sign of the function, system change, and progressive development of modern tax law. It is very useful for us to understand and study tax law. Help.

3. Tax liability. In law, "liability" has two meanings: one is a legal obligation, which means a restriction or restriction on whether the subject of the legal relationship should do this or not; the other is legal liability, which means that the legal obligation is not fulfilled. And there should be some adverse legal consequences. In a narrow sense, liability generally refers to the latter meaning. This type of legal liability is a means to ensure the mandatory realization of a legal obligation and a guarantee to fulfill this obligation. To effectively fulfill the tax payment obligations and other obligations, corresponding legal responsibilities must be guaranteed. Tax debt is a statutory obligation. Failure to perform statutory tax debt in violation of legal provisions is a tax violation and should bear corresponding legal liabilities. Therefore, tax debt and tax liability are accompanied and difficult to separate. The tax debtor not only has a legal obligation, but also bears the danger that some or all of its property will be lost due to enforcement. If this is not the case, the satisfaction of tax credits cannot be guaranteed, so tax liability is one of the contents of the effectiveness of tax debts.