Effect Of Tax Policy On Regional Innovation Capability

In recent years,the importance of innovation capability in the competition of comprehensive national strength has become more and more important,and countries have accelerated the pace of improvement of their innovation capabilities.Since 2014,Premier Li Keqiang put forward the slogan of “mass entrepreneurship,innovation”,and proposed the five development concepts of “innovation,coordination,green,openness and sharing” to the 18 th National Congress,and then pointed out that the concept of “new normal” in economic development should be As a driving force for economic development,a series of policies and concepts reflect the party and the government's high regard for innovation.Under the background of launching a wave of entrepreneurship and innovation throughout the country,provinces and cities have also actively responded to the country's policy calls,and have introduced tax policy support and incentives for the province's innovation activities.Whether these taxation policies can achieve the expected effects of promoting innovation activities,and whether the types of taxation policies will affect the incentive effect of taxation policies,and the study of these issues has theoretical and practical significance.Therefore,this paper uses 31 administrative provinces in China as the basis for regional division,and studies the impact of tax policy on regional innovation capability.This paper combines theoretical analysis with empirical analysis,and defines the concepts of taxation policy and regional innovation capability in the theoretical analysis section,and uses relevant theories to analyze the mechanism of taxation policy on innovation capability.Finally,it analyzes the development status of China's regional innovation capability and the various tax policies that encourage innovation in the whole country and the provinces and cities.In the aspect of empirical analysis,combining multiple linear regression method with text analysis method,two hypotheses are proposed on the previous analysis: one is the positive correlation between tax policy and regional innovation ability;the other is the intensity of tax policy for China's eastern,central and western regions.There are differences in the impact of regional innovation capabilities.The explanatory variables in this study are regional innovation capabilities,measured by the comprehensive utility value of innovation capabilities in the China Regional Innovation Capacity Development Report prepared by the China Science and Technology Strategy Development Group.The explanatory variables are the tax policy intensity and tax rate,adopted in China.In the Tax Law Enquiry System,enter the keyword “innovation” to collect the tax policies promulgated by each province and city,and filter and sort out the collected tax policies,assign them according to the level of the title,use the level of education development,economic development level,government technology.Input,foreign direct investment,and population aging are used as control variables for multiple linear regression.Through empirical analysis,the paper draws the following conclusions:(1)The intensity or quantity of cumulative effective taxation policies can promote regional innovation capability;(2)There are regional differences in the impact of taxation policies on regional innovation capabilities.Based on the above analysis,this paper puts forward suggestions from two aspects: the government and the main body of innovation: the government should actively introduce taxation policies to promote the improvement of innovation capabilities,and at the same time pay attention to the intensity of taxation policies and the actual development of various regions.In addition,it is necessary to strengthen the pertinence of innovation-related taxation policies,and give more innovative tax incentives to innovative enterprises;from the perspective of innovation,it is necessary to enhance the sense of innovation,and enterprises must continuously stabilize the status of innovation and increase investment in R&D and innovative talents.Cultivate and promote the improvement of innovation strength in enterprises and industries.