Research On The Impact Of Fixed Asset Accelerated Depreciation Policy On Enterprise Technological Innovation

With the development of science and technology, the competition between enterprises is gradually transformed into the competition of technological innovation ability.In such a situation, the upgrading of enterprise products and technology is becoming more and more important.Therefore, to create a good policy environment for the enterprise, become an important and urgent task of our government.The introduction of preferential policies to accelerate the depreciation of fixed assets can reduce the tax burden on the initial stage of investment, improve the cash flow of the enterprise, and mobilize the enthusiasm of enterprises to improve the investment and technology innovation.At the same time, in the context of high external financing costs, the company’s technical upgrading of investment can be considered internal financing, which includes the impact of depreciation.The enterprise uses the accelerated depreciation of the policy of depreciation, not only can promote the upgrading of enterprise equipment, but also can increase the funding of technical innovation activities through depreciation deposit funds for enterprises.Therefore, whether it is tax or accounting of the fixed assets accelerated depreciation policies, can motivate and impact the technological innovation activities of enterprises.In this paper, we first make a review of the impact of domestic and foreign depreciation policies, especially the accelerated depreciation policies on the enterprise production and operation of various aspects and the tax policies on the technological innovation of enterprises.Then, the paper defines the meaning of accelerated depreciation policy and summarizes the development course of accelerated depreciation policy at home and abroad.Due to market failure, the investment of the enterprise technological innovation activities is insufficient, through theoretical analysis, it shows that accelerated depreciation policy can improve the ability of enterprise technological innovation, promote the upgrading of equipment and increase cash flow for enterprise technological innovation and research activities, and thus stimulate enterprises to carry out technological innovation activities.Then, through empirical research methods, the six industry listing Corporation which carry out the accelerated depreciation tax policies in 2014 as a sample, test the incentive effect of the implementation of the accelerated depreciation tax policies to enterprise technology innovation, and concluded that this policy can encourage the enterprises to update the equipment, and the tax savings can encourage enterprises to invest in R & D.Then, this paper through the case study method, King Long Buses for comparison, analyze the updating and upgrading of the machinery and equipment and the cash flow, we obtain when enterprises use accelerated depreciation policy for depreciation of fixed assets, can shorten the replacement cycle of the machinery and equipment, accelerate the upgrading of enterprise equipment.At the same time, before the arrival of the update of the fixed assets, enterprises will have more depreciation deposit funds for technological innovation investment.Finally, this paper based on the development of foreign accelerated depreciation policy and the relevant theoretical and empirical analysis, case analysis results, proposed to accelerate the depreciation of tax incentives, to further increase the support for the enterprise technical innovation, especially for small and medium enterprises;to encourage and guide enterprises to adopt the method of accelerated depreciation for depreciation of fixed assets;to strengthen the publicity of this policy and encourage enterprises to effectively implement it;in technological innovation and R & D investment, to guide the enterprises to focus on the use of internal funds, etc.