Utility Analysis Of Value-added Tax On Enterprise's Independent Innovation

Under the background of “Innovative Development Strategy”,science and technology are increasingly becoming significant to advance the core competitiveness for enterprises.Any enterprises who master them are likely to win the competitions.The slogan of “Mass Entrepreneurship and Innovation” put forward by Premier Li highlights our country's concern in science and technology.Enterprises gradually attach importance to technological innovation,and realize the significance for their own development.Enterprises are important forces to promote the development of science and technology.Meanwhile,scientific and technological strength of enterprises is an important indicator to measure a country's overall scientific and technological strength.Therefore,improving the scientific infrastructure,advancing the level of higher education and enhancing the ability of independent innovation are particularly essential.Tax policy is an important part of a country's modern governance means,which plays a key role in economic regulation,industry development and structural adjustment.“Made in China 2025” Development Report clearly puts forward that the tax policy is an important method to adjust industrial structure and promote industrial science and technology modernization.It helps accelerate the reform of value-added tax and plays an irreplaceable role in regulating economic development.In order to study the overall effectiveness of value-added tax in promoting enterprise 's independent innovation,the paper selects major industrial enterprises above designated size with science and technology as the core as the object of research.Considering the characteristics of regions,it choses 6 years data sample from 2009 to 2015 of 30 provinces and autonomous regions(excluding Tibet,China Hong Kong,Macao and Taiwan on account of incomplete sample data).Besides,it picks R & D expenses of industrial enterprises above designated,the number of annual patent applications,and the annual technical market turnover as an independent variable.Through stepwise regression analysis,this paper carried out comparison between horizontal taxes and empirical analysis on vertical value-added tax's transformation of R&D investment of enterprises,patent applications and new product transformation,In order to distinguish the differentiation of tax effect among regions in different economic levels,it also made comparison among eastern,central and western regions according to the level of economic development so that it can analyze the effectiveness of value-added tax more objectively.The empirical results have shown that VAT preferential policies have positiveeffects on stimulating the enterprises to increase their R & D expenses.The enterprise income tax has a significant linear correlation with the active technology market,but the enterprise income tax has a negative effect on the R&D expenses,and has no significant effect on the patent application.The empirical results of vertical value-added tax transformation among eastern,central and western region have shown that there is a significant linear correlation on the VAT preferential policies in the eastern and western regions stimulating the enterprises to increase their R & D expenses,while there is no linear correlation in western regions,indicating that the implementation effect of VAT preferential policies in eastern and western regions is better than that in central.In addition,the results also have shown that the VAT preferential policies have a significant linear correlation with the advancement of technology market turnover and helps promote technology market transformation.Based on the empirical results and theoretical knowledge,the paper has summarized that value-added tax is better than corporate income tax to promote the effectiveness of independent innovation.