Study On The Influencing Factors Of Tax Burden In Biopharmaceutical Industry

Looking through the development of the biopharmaceutical industry,from the "8th Five-Year Plan" in the 1980 s to the latest "13th Five-Year Plan",the state has strengthened the development of the biopharmaceutical industry year by year.Because the tax burden is closely linked to profits and the growth of companies,the issue of tax burdens has drawn increasing attention as the biopharmaceutical industry develops.Based on the related theory of tax burden and combined with the internal and external environment,this paper fully analyzes the current situation and existing problems in the biopharmaceutical industry,The author select 38 representative biopharmaceutical companies which are listed in China’s Shanghai and Shenzhen Stock Exchanges as the research object,select the scale of enterprises,level of debt,capital intensity,profitability,R&D expenditure capitalization,equity structure,the nature of corporate equity,executive incentives and internal control as explanatory variables,and select the burden of actual income tax as dependent variable to establish a fixed effect model.Through empirical analysis,we conclude that asset scale,asset-liability ratio,ROE,intensity of capitalized expenditure,ratio of state-owned shares and shareholding of executives show a significant correlation with the actual tax burden of enterprises.Among these significant correlations,there is a significant positive correlation between the scale of assets and ROE,the intensity of capitalized expenditures,the percentage of executives holding shares,and the actual tax burden,which are significantly negatively correlated with the actual tax burden is the asset-liability ratio and the proportion of state-owned shares,while the correlation between the fixed assets ratio,the largest shareholder of proportion of shares,internal control and actual tax burden is not significant.In these explanatory variables,ROE which represent the profitability,and the intensity of capitalized expenditure have the greatest impact on the actual income tax burden.According to the influence on the burden of the actual income tax,this article puts forward corresponding suggestions on how to reduce the tax burden of biopharmaceutical companies: First,expanding the scale of assets,improving the profitability,the management level and tax planning level of biopharmaceutical companies;Second,paying attention to R&D expenditures and increasing R&D spending capitalization,on the one hand the formation of intangible assets is conducive to raising profitability,on the other hand,enterprises can also take full advantage of preferential tax policies to accelerate depreciation;Third,optimizing the capital structure and rational adjustment of debt levels;Fourth,increasing investment in fixed assets and intangible assets;Fifth,using of senior management incentive policies to fully mobilize the enthusiasm of management;Sixth,fully using of preferential tax policies.