The Influence Of "Replace Business Tax With Value-added Tax" On The Transformation And Upgrading Of Manufacturing Industry

In order to solve the problem of value added tax and business tax of parallel double taxation and optimize the tax structure,the state council and the state administration of taxation jointly issued the decision after the VAT reform in 2009,which is to replace the business tax with a value-added tax among the transportation industry and part of the modern service industry from January 1,2012 in Shanghai.Four years later,the scope of the pilot industry is growing and all the business tax industries have been incorporated into the category of reform so far.Based on a-share manufacturing listed companies in 2010-2015 panel data,we did an experiment to research the influence of the transformation and upgrading of manufacturing listed companies from the reform.First of all,this paper introduced the policy implementation process of the present situation of the development and manufacturing and the facing problems,including the definition of the taxpayer,new industry and tax rate setting scheme.Secondly,It mentioned how the reform affected manufacturing industry transformation and upgrading.Also,the meaning of transformation and upgrading of manufacturing is put forward in this paper.In the empirical part,the policy effect coefficient was cited in DID model to prove the impact on the outsourcing,R&D and the employment practices.To overcome the systemic differences of the reform and reduce the DID estimated errors,this paper further used the PSM-DID method for robustness testing,and the final conclusions are as follows: the policy can be promote some enterprises,especially large scale manufacturing to advocate complementary separation in a certain extent,reasonably adjust the structure of enterprises and improve enterprise resource utilization.Apart from this,It can promote enterprises increase investment in R&D and enhance competitiveness.However,in the process of study the impact on the enterprise employee behavior,we found that the phenomenon of the machine to replace peoplereform did not appear and the enterprise employment incresed instead,average employee compensation reduced,etc.This may be related to enterprise prefer independent outsourcing platform.Finally,this article put forward related suggestions from the parts of the government and the enterprise to help enterprises faster adapt to the reform of the enterprise and benefit from the reform.