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Due to the combined effects of many factors，such as the epidemic situation of COVID-19，the reduction of taxes and fees，and the decline in economic operation，tax revenue in various regions of China decreased to varying degrees in 2020 compared with the same period last year. In the first half of 2020，China’s tax revenue reached 8.899749 trillion yuan，an increase of-11.7% over the same period last year. Among them，the eastern，central and western regions achieved tax revenue of 6.011701 trillion yuan，1.459138 trillion yuan and 1.428909 trillion yuan respectively，an increase of-11.0%，-14.6% and-11.5% respectively over the same period last year，accounting for 67.5%，16.4% and 16.1% of the total tax revenue，respectively. Tax systems at all levels，under the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics in the New Era，implement the arrangements of the CPC Central Committee and the State Council，coordinate the promotion of epidemic prevention and control and economic and social development，and implement more proactive fiscal （tax） policies，control the intensity，priority and rhythm of policies，and put the support for the recovery and development of the real economy in a more prominent position. With the easing of the epidemic and the stimulating effect of the tax and fee reduction policy，China’s economy will gradually resume growth in 2021，and the tax situation will gradually start to improve.

Combined with the five major aspects of deepening the reform of the tax system put forward by the CPC Central Committee and the State Council，this report puts forward the following suggestions：Take “perfecting the direct tax system and gradually increasing its proportion” as a breakthrough in tax reform，improve the enterprise-related tax system，and respond to demands for lower tax rates such as value-added tax and enterprise income tax. Take the “backward collection of some items of consumption tax” as the starting point for the reform of consumption tax，give priority to the items such as automobiles and oil products suggested by the deputies and committee members，and appropriately expand the scope of collection. Continue to promote the reform of individual income tax under the guidance of “establishing and perfecting a comprehensive and classified individual income tax system”. Make an in-depth study of the theoretical and legal basis of real estate tax on the basis of “steadily promoting the legislation of real estate tax”. Take “perfecting the local tax system，adjusting and perfecting the local tax system，cultivating and strengthening the source of local tax，steadily expanding the management power of local tax” as the guide for the division of central and local revenue，continue to improve the reform of the tax-sharing financial system，and establish the main types of local taxes.