Analysis on consolidated taxation in the context of headquarters economy under independent corporation accounting

Headquarters economy is the inevitable results of optimizing configuration of resources in the economy of knowledge and information. After the enforcement of the newly implemented Law of the People´s Republic of China on Enterprise Income Tax, tax-payment by the headquarters of enterprises has been a widespread phenomenon, resulting in the expansion of the already existing problem of tax deviation from tax origins in the practice of income taxes. This paper is to analyze the impacts of tax-payment by headquarters under headquarters economy, concluding that consolidated tax-paying is not contradicted with the solution of tax deviation from tax origins and that the most important thing is to improve the system of tax-sharing as well as the tax declaration system, so as to supplement the loss of under-developed regions and maintain the harmonious development of different regions.