Research On The Impact Of Incentive Of Enterprise Income Tax On Capital Investment Behavior Of Companies

Many countries regard corporate income tax as the most important policy tool to regulate corporate investment behavior.The incentive of enterprise income tax generated by preferential policies of enterprise income tax can stimulate the company to invest by influencing the cost of investment and cash flow.Under the tide of fictitious economy,companies in China generally tend to invest in equity,which has a certain impact on the development of real economy.Therefore,in the context of the urgent development of the real economy,whether the enterprise income tax policy can play a guiding role is very important,whether the preferential policy of enterprise income tax can promote the development of capital investment in China? Different preferential policies of enterprise income tax result in different incentives of enterprise income tax.So,in our country,there are differences in preferential policies of corporate income tax affecting corporate capital investment,leading to differences in the degree of promotion of different types of capital investment? The different degree of financing constraints and the nature of property rights will also affect the investment decisions of companies.So will different endowment companies have heterogeneous effects on the implementation of policies? These are the problems that need to be studied in this paper.On the basis of systematically sorting out and summarizing the research results in this field,this paper firstly puts forward the theoretical analysis framework of "Incentive-Investment Decision-Making of Enterprise Income Tax" according to the logic of "Incentive-Behavior",using neoclassical investment theory,cost-benefit theory and principal-agent theory.Then,by selecting all A-share listed companies in Shanghai and Shenzhen from 2013 to 2017 as samples,this paper empirically examines the impact of corporate income tax incentives on capital investment behavior from two aspects of investment scale and investment structure.Finally,on this basis,it further verifies the impact of different endowment companies on the relationship between corporate income tax incentives and capital investment behavior.The research finds that:(1)From the perspective of investment scale,there is a significant positive correlation between the incentive of enterprise income tax and investment scale,that is,the incentive of enterprise income tax can expand the investment scale of the company.(2)From the perspective of investment structure,corporate income tax incentives can change the investment structure of companies,which indicates that the government can promote the optimization and transformation of industrial structure by formulating preferential tax policies for corporate income tax.(3)From the heterogeneity of capital investment behavior,the incentive effect of preferential policies of enterprise income tax on different endowment companies is different.Specifically,the incentive effect of preferential corporate income tax policy on high-financing-constrained companies is greater than that of low-financing-constrained companies,and the incentive effect of preferential corporate income tax policy on non-state-owned companies is greater than that of state-owned companies.Based on the above conclusions,this paper puts forward the following suggestions:(1)the government should make effective use of the enterprise income tax policy to promote the optimization and transformation of industrial structure;(2)the government should implement the preferential policy of enterprise income tax to alleviate the problem of corporate financing;(3)the company should strengthen the incentive consciousness of enterprise income tax and actively adopt tax planning behavior;(4)the company should actively use the enterprise income tax stress.Encourage and optimize the investment structure of the company.The innovative points of this paper are:(1)From the perspective of capital investment,this paper analyses the impact of corporate income tax incentives on corporate investment behavior,and by studying the changes of capital investment structure under the incentive of corporate income tax,we can explore the differences of incentive effects of different types of corporate income tax incentives.(2)In studying the heterogeneity of corporate income tax incentives,most of them only involve the distinction between state-owned enterprises and private enterprises.This paper examines the heterogeneity of corporate income tax incentives from the perspective of financing constraints when studying the differences in the impact of corporate income tax incentives with different Endowments on corporate investment behavior.