A Study Of Tax Policy’s Impact On The Investment In Fixed-Assets Of Enterprise Of Manufacturing

Investment is one of the three driving coaches of economic growth, is the starting point and the center of the whole economic activity. From the micro perspective, the investment includes inward investment and foreign investment, the inward investment is mainly fixed asset investment. The increase in the amount of fixed assets investment is the key to the capital accumulation of micro economy, and capital accumulation is an important prerequisite for the survival and development of enterprises, and is an important way to expand the scale of enterprises and improve market competitiveness.In order to improve the efficiency of resources allocation, to optimize the economic growth mode, to achieve stable and healthy development of the country, the government carries out monetary policy and fiscal policy to influence the investment structure and scale of fixed assets investment. With respect to monetary policy and other fiscal policy, tax policy has a variety of adjustment means, including the introduction of new taxes, adjusting the existing taxes, such as the scope of tax, tax base and so on; at the same time, the effect of its role is soft. Therefore, tax policy is increasingly becoming an important means of national regulation and control, but also an effective means to implement the national industrial policy, control the scale of investment in specific industries, and adjust the structure of investment. For example,in the early 90’s, China’s fixed asset investment direction adjustment tax was introduced to curb over investment, and guide investment direction; in 2000,considering the lack of social total demand, the government stimulated basic construction investment and enterprise R&D investment, through the suspension of fixed asset investment direction adjustment tax. Therefore, studying the impact of tax policy on the investment of fixed assets of enterprises, as well as the extent to which the tax policy affects the behavior of the fixed assets investment has important practical significance. At present, the domestic research on tax impact on enterprise fixed assets investment is still in its infancy, and the research is very rare. In view of this, this paper uses a new analysis tool, the marginal effective tax rate, to study the impact of tax policy on the investment scale of fixed assets investment.In theory, based on summing up the research of many domestic and foreign scholars, the paper chooses to use the marginal tax rate as the theory model to analyzethe impact of tax policy on investment decision, and takes the enterprise income tax and the value-added tax into consideration. In the empirical analysis, following the Shanghai took the lead in replacing the business tax of some industries with the value-added tax in 2012, more enterprises and industries are influenced; at the same time, considering the manufacturing industry as a typical capital intensive industry and scale of fixed assets investment accounted for the highest industry. Therefore, in order to eliminate the influence of the tax policy reform and improve the fitting degree of the model, this paper chooses manufacturing enterprises meeting the requirements as the research object. Firstly, the marginal effective tax rate of fixed assets investment from2005 to 2014 is calculated, and the change of marginal effective tax rate is analyzed.Then, the influence of effective tax rate on fixed assets investment is analyzed by constructing tax policy—fixed assets investment panel data model.Through the research, the conclusions are as followings. First, the tax policy of our country generally inhibits the investment of fixed assets. Second, the tax reforms of enterprise income tax in 2008 and the value-added tax in 2009 weakened the inhibition. Third, the regressive result of the panel data model shows that with the marginal effective tax rate increasing one unit, the enterprise fixed assets investment will change-0.1789 units.With the conclusions above, combined with the current background of China’s economic transformation and upgrading and the necessary of optimizing the pattern of regional coordination development, this paper give some political suggestions about how to make full use of tax policy.