ABSTRACT
The Common Program of the Chinese People’s Political Consultative Conference adopted in 1949 effectively served as the interim Constitution for the country, which stipulated that the state should coordinate and regulate the state-owned economy, the individual economy of peasants and manual laborers, the private capitalist economy and the state capitalist economy. The Key Principles of the National Tax Administration, promulgated in 1950, marked the unification of the Chinese tax administration and the establishment of a new tax system. During the process of state-owned enterprise reform, another important trend in the Chinese economy was gaining momentum: the emergence and development of private economy. In the early stages of reform, there was a period of confusion in the area of Chinese enterprise legislation, but gradually two approaches to such legislation developed. Under one approach, laws were enacted according to the different types of enterprise ownership. Under the second approach, laws were created based on the legal forms of enterprises and investors’ liability.
