The Effect Of Tax Burden On The Business Performance Of State-owned Machinery Manufacturing Industry

Manufacturing is not only an important symbol of measuring a country's economic strength and competitiveness,but also the driving force of China entering into the process of industrialization.Since the reform and opening up nearly four decades,China's manufacturing industry has developed rapidly.At present,the total output value of Chinese manufacturing industry has surpassed the United States,becoming the world's largest manufacturing power.However,Chinese manufacturing's indicators is not high,such as value-added ratio and profit margins,and the value-added of manufactured products is not high.Because Chinese manufacturing industry is facing many issues,such as a lower labor productivity and a higher raw materials and labor costs currently.On the one hand,from the internal environment,China's manufacturing industry is facing many issues,such as a lower labor productivity,raw materials and labor costs.On the other hand,the sustained and healthy development of manufacturing industry is inseparable from the appropriate external environment.A country's tax policy is one of the most important external environment of enterprises' survival and development.Tax burden is also an important factor that cannot be ignored.The secondary industry plays a vital role in the development of the national economy.Taxation of the secondary industry accounts for about 50% of the national tax revenue.Compared with the mining industry,the construction industry and the electricity,gas,water production and supply industry,the tax burden of machinery manufacturing industry accounted for about 70% of the secondary industry.It is clear that the tax burden of machinery manufacturing is heavy.On the basis of combing the current situation of the tax burden of manufacturing industry in our country,this paper chooses State-owned machinery manufacturing listed companies with perfect internal management system and equity capital structure,mature financial system and open and transparent data as the research object.By analyzing the effect of the overall tax burden rate,the relative operating income,the relative operating cost and the asset-liability ratio on the return on assets,it is found that the tax burden of the enterprise has the inhibitory effect on the performance of the state-owned machinery manufacturing enterprises.The empirical result shows that the overall tax burden,the relative operating cost and the asset-liability ratio have a negative effect on the return on assets.The relative income of the enterprises is positively related to the asset-liability ratio of the enterprise.In the last part of this paper,we put forward relevant policy suggestions for reducing the tax burden of state-owned machinery manufacturing enterprises and improving the performance of enterprises.First,the government can take measures to reduce the enterprise turnover tax burden,especially the value-added tax burden,such as tax return and relaxation of the fixed depreciation period for fixed assets.Second,China's state-owned machinery manufacturing enterprises income tax burden is lower than the turnover tax.Corporate income tax burden is directly from the enterprise's capital commitment,so reducing the state-owned machinery manufacturing enterprises income tax burden is the most direct way for enterprises to reduce the burden.The state-owned machinery manufacturing enterprises can meet the high-tech enterprises' recognized conditions through policy guidance and encouraging technological innovation of the state.Narrow the corporate income tax base and expand the scope of projects of allowing pre-tax deductions.The state can carry out a certain tax reduction and exemption policy for enterprises for independent research and development,and increase the proportion of R & D expenses before tax deduction to further reduce the enterprise income tax burden.Third,to enhance the state-owned machinery manufacturing enterprises operating performance,it is necessary to break the technical barriers to enterprises to make enterprises form their own core competitiveness.