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Chapter 746: Walking on Two Legs

"Well...what am I going to say?" Secretary Yue Shan coughed and suddenly forgot what he had just planned to say, and couldn't help but feel a little embarrassed.

After hearing this, everyone laughed.

"It's about the tax-sharing reform that the central government is about to implement." Ye Kai reminded.

"Yes, tax-sharing system reform." Secretary Yue Shan laughed himself, and then said, "It is a general trend for leading cadres to become younger. You see Comrade Ye Kai quarreling with others and unable to forget the topic of the meeting. I can't do it. Listen.

You guys were so noisy that you forgot what you were going to do."

Secretary Yue Shan spoke so humorously that everyone burst into laughter. The atmosphere in the conference room finally returned to normal.

However, some people must have knots in their hearts, and this is inevitable.

"Comrades, since the tax-sharing system was trialled in our province, everyone has been under great pressure." Secretary Yue Shan said.

When he said this, everyone's mood suddenly rose, and they complained one after another. They were obviously very dissatisfied with the trial tax sharing system. It was really sad for those who spoke and tears for those who heard it.

It can be said that although the tax-sharing system has only been tried for a period of time, local officials are already under great pressure.

For a long time after the founding of the People's Republic of China, in addition to the highly centralized unified political system, the economic system implemented a highly centralized planned economy. Local governments were the resolute implementers of central policies and must strictly implement them.

The plans formulated by the state, local governments and their departments are also highly consistent with the national interest system. Local development has a great relationship with central policies, such as the "Third Front Construction" of that year.

After the reform and opening up, an important measure was to decentralize powers and transfer benefits to local governments. The essence of delegating powers and transferring benefits is that while the central government recognizes the legal status of local governments as first-level interest subjects, it returns a certain range of rights to local governments.

Especially since 1985, the country has implemented the fiscal system of "dividing taxes, approving revenue and expenditure, and grading responsibility" to after 1992, and implementing the fiscal system of "dividing taxes into different categories and eating separately". Local governments and their various departments have differentiated themselves from the national interest system.

and departmental interests.

In Ye Kai’s memory, in the year after the tax-sharing system was implemented in 1994, the central government’s fiscal revenue accounted for 55.7% of the country’s total fiscal revenue from 22% in the previous year. Fiscal revenue was 300% of the previous year, and fiscal expenditure accounted for

However, the proportion of total national expenditures only increased by 2 percentage points compared with the previous year, while local fiscal revenue decreased by 32% compared with the previous year. After that, the "reverse scissors" state of fiscal revenue and expenditure between the central and local governments emerged.

Even if the original "power" of local governments remains unchanged, their "financial power" has been moved up, and local governments cannot issue local public bonds. They have no borrowing power and no tax legislative power. Local government finances are in serious financial difficulties, and many local governments have suffered serious financial difficulties.

debt crisis.

Ten years after the implementation of the tax-sharing system, local government debt is at least more than 1 trillion yuan, of which the total debt of local grassroots governments is about 220 billion yuan. The average debt of towns and villages is 4 million yuan.

Many local governments, especially township governments in underdeveloped areas, have become "food finance", and even the timely payment of salaries to civil servants and teachers has become a big problem.

Mayors have the strongest reaction to the impact of the tax-sharing system.

"After the implementation of the tax-sharing system, the central and local governments share revenue including: value-added tax, resource tax, and securities transaction tax. The central government shares 75% of the value-added tax and local governments share 25%. Resource taxes are divided according to different types of resources, and most resource taxes are treated as local revenue.

, Offshore oil resource tax is the central revenue. Securities transaction tax, the central and local governments each share 50%." Longcheng Mayor Mu Wanrong said, "We have seriously considered this issue. After the central and local fiscal revenue is divided, the local government

One of the ways to expand financial resources is to share 25% of the value-added tax and export tax rebates that are fully borne by the central government. This means that we must increase our efforts to attract investment, especially foreign investment. In this way, we can increase exports and obtain support from the central government.

Export tax rebates and increase investment in projects to accelerate economic development. Another way is to expand local sources of exclusive revenue, such as urban land use tax, real estate tax, farmland occupation tax, land value-added tax, and paid use of state-owned land

Income, etc., most of these are related to land."

Ye Kai listened and nodded secretly. One of the consequences of the tax-sharing system is that under the slogan of continuous industrialization, urbanization, and city management, a large amount of collective land is requisitioned and old cities are renovated and demolished. The scale of the city is continuously expanded, and the urban construction industry and real estate are developed.

Industry, making money from land.

To put it simply, local governments have to rely on land finance to survive.

This is also the main reason why real estate was later developed as a pillar industry, because land finance has actually kidnapped local governments.

The development of the real estate and construction industries brought about by urban expansion is also the main force for local governments to ensure the increase in GDP figures.

Leaders of several other prefectures and cities also complained incessantly. They all said that the pie taken away by the central government was too big, making it difficult for the local governments. Not to mention development funds, even the money to ensure food was very tight.

Be careful and you will hit the red line.

Even Meng Zhao, the mayor of Dongshan who had been depressed for a long time, started to complain, saying that Dongshan has no local advantages and it is difficult to attract investment. Now that the tax sharing system has been introduced, it has really made things worse, making life very difficult.

"We are holding a seminar, not a complaint meeting." Secretary Yue Shan was a little helpless after hearing such a bunch of complaints. "The central government's policy is clear. Starting next year, the tax sharing system will be fully implemented. Everyone will be the same by then.

At least after we have tried it for a period of time, we should have a picture in our minds. How to develop the economy and ensure people's livelihood under the current tax system is something we need to study hard. Complaining will not solve the problem. I hope you will

Be able to creatively solve problems, strive to develop the economy, and work hard to increase revenue and reduce expenditure.”

Logically speaking, when Secretary Yue Shan said this, everyone should applaud.

But at this time, everyone was worried about the implementation of the tax-sharing system and thinking about how to live in the future, so the conference room fell silent for a while, and no one answered.

Faced with a problem that everyone encounters for the first time, no one has the foresight to see how to deal with the situation in front of them.

"I only have two legs to walk..." Seeing that no one spoke, Ye Kai looked at Secretary Yue Shan and had no choice but to help him smooth things over.

"Oh, what do you think, Comrade Ye Kai? When you were in Jiangzhong, you were good at economic construction. Tell me, now we have a big headache." Seeing Ye Kai speak, Secretary Yue Shan immediately became very happy.

Encouragement.

Not everyone is aware of Ye Kai's situation. Some people who don't know him immediately start whispering, asking each other who is Secretary Ye and what he did before.

In fact, Ye Kai's usual exposure rate is not high. He is neither the secretary of the municipal party committee nor the mayor. The position of secretary of the Discipline Inspection Commission is destined to be relatively low-key, because his appearance means that someone is going to be unlucky.

Because of this reason, everyone is not very familiar with Ye Kai. Even Kanze Kai, secretary of the municipal party committee who is an official in the same city, has limited knowledge of Ye Kai. He only knows that he is a descendant of the old Ye family, with a powerful background and great influence.

, but I really don’t know much about the specific situation.

Especially on Ye Kai's resume, some things are written very simply, written in one stroke, or vague, making it difficult for people to tell whether they are true or false.

At this time, I heard Secretary Yue Shan say that when Ye Kai was in Jiangzhong, he was good at economic construction. He couldn't help being surprised and thought that since Ye Kai was doing this, how could he be brought to Longcheng to serve as a post?

What about the position of Secretary of the Municipal Commission for Discipline Inspection?

Speaking of which, Ye Kai's work experience is quite rich and colorful.

Of course, if Kanazawa Kai knew that Ye Kai was still holding a concurrent position at the Central Police Station, he would be even more surprised.

"There is no doubt about the determination of the central government, and the tax-sharing system must be implemented." Ye Kai said, "Mayor Mu also said just now, it is nothing more than two points. The first is to manage the land and develop the real estate industry, and the second is to attract investment.

Develop physical enterprises. The biggest problem we face now is that we have no money, so operating land and developing the real estate industry are the last resort. But the consequence of doing so is to pass on the operating costs to the people. So

This is just a temporary measure and cannot last long. After we have a certain amount of initial funds on hand, we will consider developing real enterprises, because land finance is just a bubble and will burst one day. No one knows this day.

When will it come? That’s why I say we have to walk on two legs. Land finance can be done, but the proportion of GDP cannot be too high. If it is too high, problems will arise.”

Mu Wanrong listened to Ye Kai's words very carefully and felt that his statement of walking on two legs was very practical.

The land will eventually be sold out, and the government cannot make a living just by selling land. Entity enterprises must develop, and they must develop vigorously. This is the main pillar to ensure the stable development of the urban economy.

However, some people agreed with Ye Kai's statement, while others disagreed. Meng Zhao, the mayor of Dongshan, disagreed. Although he complained about poverty for a while, it was just a blind shout. There are many coal mines in Dongshan. He said that

In fact, I am not very worried about the upcoming tax-sharing reform.

It doesn't matter if you don't have money, the worst thing is, just open a few more private mines, there will always be money.

Meng Zhao looked at Ye Kai, who was sitting on the side, with hatred in his heart... The third update has arrived! (To be continued) rq

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