Fiscal compensation mechanism for the coordinated development of post three gorges reservoir area under the main functional division system

Abstract

As an important freshwater resource base in China, post Three Gorges reservoir area's ecological and economic construction goals and the natural conditions itself determined the main orientation of limited regional development function. The implementation of preferential policy in the restricted developing area is out of the essential need of coordinated regional development imperatively. Our central government and state council have regarded the fiscal and taxation policies as an important policy tool and leverage to promote the coordinated development in China in the main functional areas. The compensatory fiscal policy is not only the main way to implementing the succession plans, but also strong support for the protection of water resources and coordinated development in the limited development zone. Aiming at the orientation of important function as well as the problems, this paper places emphasis on the significance of the preferential policies and some fiscal and taxation measures are put forward to promote the coordinated development in the post Reservoir area. © 2011 Springer-Verlag Berlin Heidelberg.