The Effect Of Corporate Income Tax Incentives On Corporate R&D Investment

Enterprise technology innovation is an important part of technology innovation in our country,the enterprise R&D investment is decided to the size of China's science and technology progress potential factor,but due to externalities,risk and information asymmetry,and other factors,enterprise's R&D enthusiasm could be limited,therefore,the government's use of preferential tax policy to reduce the tax burden on enterprises,reduce the risk of the enterprise research and development activities to some extent help to promote enterprise to increase R&D investment.Semiconductor industry is an important industry in the field of science and technology and national economy at present and in the future.In order to enhance China's scientific and technological strength and enhance the sustainability of economic development,China attaches great importance to the semiconductor and related industries.The semiconductor industry is a capital,technology and talent-intensive industry.The indispensable smart phones,TV sets,computers and even the current technology and military equipment are inseparable from electronic equipment.To some extent,the R&D and manufacturing capacity of semiconductor components,especially the core electronic components such as computer and mobile phone chips,is an important sign of a country's comprehensive strength.Because our country science and technology foundation is relatively weak,in semiconductor research and development and production process experience accumulation is insufficient,compared with the developed countries in the world,there is a big gap.In 2018,the United States imposed sanctions on ZTE,which severely damaged ZTE's business and disrupted the normal operation of the supply chain.More than 60% of the components,including core chips,needed to be imported from American companies,resulting in a total loss of 20 billion yuan.This has exposed a shortage of core chip research and development technology in China,which relies heavily on imports to the point of endangering the country's economy and national security.Therefore,China must increase research and development investment in the semiconductor industry,especially in chip manufacturing,and firmly grasp the key technology in their own hands.Since the reform and opening up,China has been constantly exploring and innovating,and the semiconductor industry has been constantly developing.Till now,China has become the most important electronic equipment base and consumer electronics market in the world.Meanwhile,China's semiconductor industry chain is also constantly improving.In the current highly competitive environment of science and technology,increasing research and development investment and enhancing the ability of technological progress and competitiveness is an important starting point for China to enhance its national innovation capacity.Taking the data of the semiconductor industry as an example,it is of great significance to study the influence of corporate income tax preferential policies on the R&D investment and innovation of enterprises for the scientific and technological progress and sustainable and healthy development of the semiconductor industry and other industries.Based on the research results of domestic and foreign scholars,this paper first sorted out the relevant theories of enterprise R&D investment,and then analyzed the effect of corporate income tax preferential policies on the innovation of enterprise R&D investment.Then,it analyzes the status quo of enterprise research and development in China and the current situation of the semiconductor industry.By consulting relevant policies,it summarizes the current corporate income tax preferential policies to encourage enterprise research and innovation and evaluates them.Then,the empirical part of the selection of the semiconductor industry listed companies from 2015 to 2018 data to analysis enterprise income tax preferential policy to the enterprise R&D in China,the influence of the enterprise research and development spending is as explained variable,enterprise income tax as the explained variable,government subsidies as a reference variable fixed effects regression model is established.The empirical results show that in the stage of R&D investment,the lower the income tax burden is,the more r & d investment is,especially for the larger enterprises.Finally,based on the above theoretical analysis and empirical test,this paper proposes that China should increase the intensity of enterprise income tax incentives in the research and development stage and pay attention to the elaboration of policies.Meanwhile,it should actively change the incentive methods such as enterprise income tax incentives,and give consideration to other links and tax design.In addition,it is necessary to strengthen the management and evaluation of enterprise income tax incentive policies for enterprise R&D and innovation,increase the introduction of scientific research talents and the support of enterprises in non-coastal areas,and improve the overall level and efficiency of technological innovation in China.