Research On The Income Tax Incentive Effect Of Charitable Donations Of Private Tnterprices In My Country

With the rapid development of the economy and society in China,charity is getting more and more attention,and more and more companies are starting to donate to charity due to the importance of social responsibility.At the same time,our NGOs have begun to differentiate themselves in philanthropy according to the statistics of the "China Charity Development Report".In 2020,my country's NGOs have become a leader in their charitable donation and charitable donation rates.Remains at about50% for ten consecutive years,which is higher than other donations.In order to provide special practice,several sets of policy measures have been adopted.Therefore,it is extremely important to study the issues inherent in current policy and how to improve the income tax incentive policy to defend the desire of NGOs to participate in charitable giving!Based on the the background and importance of the above research,this article first introduces the basic concepts of charitable donations and public welfare donations,and then elaborates the theoretical basis of tax incentives to encourage corporate charitable donations from the perspectives of the third distribution theory and the Pareto optimal theory.Starting from profit maximization and effect maximization,combined with relevant knowledge of economics,analyzed the impact of full deduction and limit deduction on corporate donations,and finally found that the pre-tax deduction policy will only affect those companies whose donation expenditure exceeds the pre-tax deduction ratio limit.Enterprises have an impact.Secondly,it sorts out the charitable donations of private enterprises in my country and analyzes the existing corporate income tax preferential policies,and points out some problems in my country ' s current tax policies for charitable donations,including unreasonable pre-tax deduction ratios,restricted pre-tax deduction requirements,Issues such as the insufficient number of institutions that issue tax reduction and exemption certificates.Subsequently,under the policy background of the adjustment of the pre-tax deduction policy,the private listed companies in 2006-2012 and2015-2018 were used as research samples to conduct an empirical analysis on the corporate income tax policy to encourage charitable donations.The empirical results show that the corporate public welfare is improved Both the pre-tax deduction ratio of donations and the allowable 3 years of carry-forward deductions can promote the public welfare donation expenditure of enterprises,and through heterogeneity analysis,it is found that the size and profitability of the enterprise will have a certain incentive effect on the adjustment of the pre-tax deduction policy.influences.Finally,combining theoretical analysis,current situation analysis and empirical analysis,corresponding countermeasures and suggestions are proposed from the two aspects of the pre-tax deduction system and related supporting measures,such as: appropriately expanding the carry-over annual limit,piloting differentiated pre-tax deduction ratios,and exploring the taxation of direct donations.Pre-deduction method,etc.