Empirical Study On The Incentive Effect Of Enterprise's R & D Innovation Of Tax Expenditure In China

As an important factor of production,R&D innovation is the key factor to improve production efficiency and promote economic development.R&D innovation can reflect the situation of development and international competitiveness level.As the main undertaker of R&D innovation,enterprises occupy a dominant position in both input and output.Because of the long-term,risk and externality of R&D innovation,market failure inevitably occurs in R&D activities.Therefore,it is necessary for the government to use macro-control policies to correct the market failure.In recent years,China attaches great importance to R&D innovation.The Eighteenth National Congress of the Communist Party of China clearly put forward the implementation of "innovation-driven development strategy",established a market-oriented mechanism for R&D innovation,and gave enterprises a variety of tax expenditure policies.Whether this kind of tax expenditure matches the output of R&D innovation still needs further empirical test.Therefore,this paper focuses on empirical analysis of the incentive effect of tax expenditure on R&D innovation,so as to lay a good foundation for better incentive of R&D innovation.This paper mainly includes five aspects.On the basis of tax expenditure theory,combined with the tax policy of R&D innovation and the status quo of R&D innovation.Using empirical analysis and comparative analysis method,this paper selects the data of industrial enterprises above designated size as samples,empirically tests the incentives of tax expenditure to R&D innovation from two aspects: input of R&D innovation and output of R&D innovation.Among them,R&D expenditure is used to represent the investment of R&D innovation,effective patent number is used to represent the innovation achievements,and sales revenue of new products is used to represent the transformation income of innovation achievements.The empirical results show that tax expenditure has a positive incentive effect on the input and output of R&D innovation.Based on the current situation analysis and empirical results,combined with international experience for reference,this paper summarizes the existing problems of tax expenditure in China and puts forward policy recommendations,mainly including improving the tax policy structure of R&D innovation,optimizing the existing tax policy system,and continuing to increase tax expenditure on R&D innovation of enterprises.