Research On Preferential Tax Policies For SMEs

SMEs have become an important force in national economic development. Theyplay a decisive role in economic development.They contribute a large amountof tax, promoting technological innovation,create lots of jobs.However, because ofweak ability of anti economic risk, big difficulty of financing,heavy socialburden,lack of policy support, lack of management standardization,etc,thedevelopment of SMEs in China has generally been restricted. Preferential tax policyis a typical kind of public policy that adjusts distribution. In the new situation, howto improve the preferential tax policy,using tax economic lever to promote the healthydevelopment of SMEs, is an important subject for the tax department.This paper is devided into five parts.Taking Zhengzhou New Disdrict as anexample,the auther carried on the questionnaire survey within the scope of136smalland medium enterprises.On the basis of the investigation,it summarizes the commonproblems in the implemention of policy,analyzes the causes,and puts forward thecountermeasures.This paper will consider the preferential tax policy as a kind oftypical public policy.It introduces the concept,characteristics and problems ofSMEs;summarizes the connotation and characteristics of preferential tax policy;pointsout that it’s necessary to implement the preferential tax policy for SMEs;combscurrent support policy on taxation for SMEs comprehensively;summarizes status ofexecution of current preferential tax policy for SMEs based on practice, such as thepoor execution effectiveness, the standard of part of the policy is too high and severeto operate, the lack of policy system, part blank field needs support;analysescontributing factors of policy defect deeply from the view of policy oriented,policyformulation,executory costs,external environment of policy execution,etc.Finally,taking the social justice and efficiency as the main target,it puts forward someprinciples which are followed to improve and perfect the support policy on taxationfor SMEs,such as legalism and equitability of taxation,highlighting the policyguidance,making convenience to tax administration and taxpayer to follow;providesproposes from the view of system,measure, collection and service concretely on the basis of the above research.Overall, this research lacks certain depth.Policy suggestions are chiefly proposedat the micro level, which has certain limitation.Promoting the development of SMEsis a complicated system engineering.All sorts of policies should form resultantforce.How the preferential tax policy cooperates with fiscal policy, monetary policyand industrial policy well, needs to be further discussed.