A Study On The Impact Of Tax Reduction Policies On Technological Innovation Of New Energy Vehicle Industry

Because of the instability and uncertainty of the international situation,the counter current of economic globalization and the COVID-19,China’s economic pressure is increasing.In order to deal with the tension and ease the survival pressure of domestic enterprises,China has introduced a series of tax reduction policies and tax system reform.Automobile industry is one of the pillar industries in China.New energy vehicle is not only the hope of automobile industry revitalization,but also a hotly contested spot,so it has a very important position.Thus whether the new energy vehicle enterprises can continuously improve the technical level,enhance their competitiveness,and drive the automobile industry and even the manufacturing industry to rejuvenate with benign competition is related to the development of China’s overall economy,and it is a problem that the government must pay attention to.Therefore,starting from the tax reduction policies and taking Geely as an example,this paper examines the relationship between tax reduction policies and technological innovation of the new energy vehicle industry,so as to provide relevant suggestions for tax reduction policies and further tax reform in China.This paper takes the annual financial reports of Geely issued in 2015-2019 as the sample,and finds that the tax reduction policies implemented in China has a certain role in promoting Geely technology innovation.On this basis,this paper analyzes the impact of various taxes on Geely’s R&D investment and performances,so as to explore the relationship between specific tax reduction policies and technological innovation of new energy vehicle enterprises.The results show that: the current tax reduction policies have a certain role in promoting Geely’s R&D investment and performances,compared with the promotion effect of R&D investment is more significant.Among them,the value-added tax has the largest tax reduction for enterprises,the enterprise income tax has the most obvious impact on the R&D investment funds of enterprises,and the other taxes have no significant effects,which only reflects the attitude of the government.In addition,it is found that the tax reduction policies have incentive effect on enterprises in the short term,but the long-term incentive effect has a downward trend.Besides,he level of R&D investment of enterprises in that year will also have a reaction on the tax reduction policies that enterprises can enjoy.