Suggestions on Optimizing Green Tax System Under “Double Carbon” Goals

DAI Zhixin, a researcher at the National Academy of Development and Strategy of Renmin University of China and an associate professor at the School of Finance, published a commentary article in China Financial and Economic News on optimizing the construction of green tax system. The key points of the article are as follows. It mainly revolves around proposing a series of policy suggestions focusing on green production, green consumption, and carbon tax design, aiming to fully enhance the effectiveness of green tax system, promote low-carbon development, and accelerate the realization of the “carbon peaking and carbon neutrality” goals.

Against the backdrop of addressing global climate change and promoting high-quality development, China’s proposed “carbon peaking and carbon neutrality” goals are of significant importance. The green tax system aims to promote green production and consumption, which can provide support for accelerating the construction of an ecological civilization and play an important role in adjusting energy structure, promoting energy conservation and emission reduction, as well as increasing fiscal revenue. It is an important tool for achieving the goals.

Regarding the green tax system at the production level, the article proposes suggestions to improve the scope of environmental protection tax collection, tax rate standards, and co-governance mechanisms to strengthen control over enterprises’ environmentally polluting and resource-wasting behaviors. In terms of consumption tax, the article suggests expanding the scope of collection, imposing taxes on major fossil fuels such as coal, and increasing the tax rates on certain products to guide consumer behavior and promote green consumption. Furthermore, the article emphasizes the necessity of timely implementation of carbon taxes and proposes cautious institutional arrangements in terms of tax scope, tax objects, tax rate setting, and collection methods, suggesting comprehensive consideration of the characteristics of different regions and industries to form targeted policy incentive measures. These policy suggestions aim to construct a more beneficial green tax system and provide strong support for achieving the “carbon peaking and carbon neutrality” goals.

(Translated by ZHANG Yuqing; Proofread by YANG Fanxin)