Application Of Tax Deduction Of The Cost For R&D Policy In Enterprise T

To build the innovational nation and to speed up the process of transformingeconomic growth pattern, and achieve the strategic target of our country, thetechnology is the most fundamental element, and the key factor is the enhancement ofthe capacity for independent innovation. On the National Conference of Science andTechnology this year, the dominant position of enterprises in independent innovationis further clarified. In order to encourage enterprises to increase investment in scienceand technology and to improve technological innovation ability, government hasissued a series incentive policy of science and technology, industry, financial, tax andso on. It can greatly enhance the enthusiasm of independent innovation, and provide apowerful impetus for enterprises to take the road of independent innovation. Thepolicy of tax deduction of the cost for R&D has a large value for enterprises becauseof its wide-range of applications, forceful, and obvious effect. How to take advantageof the tax policy, and to standardize the work of innovation, is an important project tothe technical and financial staff in enterprises.This paper introduces the background of tax deduction of the cost for R&D policyand its evolution process. And it analyzes the relevant concepts of cost for R&D andthe difference in definitions of cost for R&D by the different national sectors. By thecase of enterprise T to implement this policy, this paper summarizes the problems inthe process to implement it, and the measures to solve them. In the end, the paperintroduces economic benefit of this policy to enterprise T, and the encouraging effectto its technical innovation.