Abstract: In view of the influences of environmental tax on high pollution industries, this paper selected Shaoyang City in Hunan Province as the research area and the COD emission was taken as an example. This paper investigated the cost of wastewater treatment of different industries, which were considered to cause the highest COD emission, such as pulp and paper industry, agricultural and sideline food processing industry, chemical raw material and chemical product manufacturing. Based on the previous survey, it was found that there were significant differences of average treatment cost among these industries, indicated by the calculated average cost from 1.55 yuan/kg to 8.11 yuan/kg. However, the charge of wastewater emission is 0.7 yuan/kg far below the average cost. Thus, with environmental taxes at such a low level, it could neither encourage these industries to reduce wastewater emission nor raise funds for government to further deal with environmental pollution. This paper analyzed the impacts of environmental tax levied on industries of high COD emission in Shaoyang. The results suggested that the influence rate of current tax policy on most industrial interest and taxes was less than 5%, such as the environmental protection tax in regard to the average treatment cost of industries and in case of the increased marginal cost. Moreover, based on the average treatment cost the environmental protection tax levied on industries would not only eliminate the backward production capacity of high pollution but also promote the optimal allocation of the entire industrial resources, which is of practical significance for the industrial development, promotion of supply side reform and improvement of the environmental quality in the long run.
Key words：environmental tax; impact analysis; highpolluted enterprises; supplyside reform