The Effect Of The Transformation Of The Value-added Tax On Performance Of Listed Company

Currently, the VAT revenue is the most in the whole taxation, and account for a large proportion of the state tax revenue, even the state finance revenue. It is one of the majority taxes in our country. We chose the Production-based value-added tax in the tax reformation, based on the economies situation in 1994.That type of value-added tax accord with the demand of economic development at that time. It played an importance role in promotion the economic growth and restrained the fast fixed assets invention. But there are many problems since we chose that type, including restrain the enterprise renewing equipment, unfair taxation burden, not good for domestic products participating international competition, and so on. For the demand of the current economic situation and under the policy of revitalizing northeast china, we advanced the reformation of VAT transformation in northeast of china first.This paper explores the influence of the transformation of VAT effects on the performance of listed companies on the consolidated basis of previous studies through normative research and empirical research in the micro perspective. First, the paper introduces the background, and research purposes. I put forward my own ideas and innovations based on the study of literature at home and abroad.Then the chapter describes the concept of value-added tax and company performance. After it is normative research, which analysis the transformation of value-added tax impact on the performance. We can find that the empirical result shows this policy has a positive effete on performance .The fourth part is most important as the demonstration part, I choose 89 listed firms of 2006,2007 and 2008 as the sample firms. Under the item of Value-added Tax Preference, I choose add assets*tax rate/total assets as Value-added Tax, and choose Rate of Return on Common Stockholders' Equity as enterprise performance, also choose some control complication to set up a model, in order to realize the connection between the Value-added Tax preference and financial performance of listed firms. We can realize that the Value -added Tax preference is highly corporate with enterprise performance of listed firms. The connection between them is positive. It means that the enterprise performance of listed firms is better after the listed firms are enjoyed the item.We can find that the empirical result shows this policy has a positive effete on performance of listed firms but the policy is not perfect, the government has to improve it. Then we give some suggests.The author hopes that this article can be benefit for the fully implement.