Improvement Of VAT Preferential Policy In Advanced Manufacturing Industry

Manufacturing industry is the main body of the national economy,the foundation of founding the country,the instrument of rejuvenating the country and the foundation of strengthening the country.Advanced manufacturing industry is not only the field with the highest added value and profit margin in the industrial chain,but also the most innovative,and fruitful field in manufacturing industry.It is very important for the economic development and national security of all countries.China is a manufacturing power,but it is not yet a manufacturing power.It is imperative to accelerate the development of advanced manufacturing industry in order to realize the transformation from a big manufacturing country to a strong manufacturing country.However,at this stage,there is no big difference in the application of VAT tax policy in China's advanced manufacturing industry.One of the characteristics of advanced manufacturing industry is that products have high added value.High added value means that they can create more added value than primary manufacturing industry.Under the same applicable tax rate,advanced manufacturing industry bears heavier added value tax burden than primary manufacturing industry to a certain extent,which restricts the development and use of advanced technology in manufacturing industry,and thus is not conducive to our country.The transformation and upgrading of manufacturing industry and the upgrading of industrial competitiveness.Therefore,this paper studies how to improve the VAT preferential policy of advanced manufacturing industry,accelerate the development of advanced manufacturing industry,and realize the transformation and upgrading of manufacturing industry.Firstly,this paper defines the category of advanced manufacturing industry according to Made-in-China 2025 issued by the State Council and Guidance Catalogue of Key Products and Services in Strategic Emerging Industries(2016 Edition)issued by the National Development and Reform Commission,and analyses the development status of advanced manufacturing industry in China.It is found that although advanced manufacturing industry has risen rapidly in recent years,there is a growth rate of investment.Slow down,benefit drop and lack of competitive advantage.Taxation,as an important tool of national industrial regulation and control,should play a role in stimulating the development of high-end and advanced industries.However,by sorting out the tax preferential policies applicable to China's advanced manufacturing industry,it is found that there are some problems in the current preferential policies to support the development of advanced manufacturing industry,such as: first,the tax preferential model does not match the current tax system model.In the tax preferences for manufacturing industry,the direct tax preferences are the main way,ignoring the role of indirect tax in stimulating industrial efficiency.Secondly,the tax preferential clauses are not systematic and targeted.The tax preferential policies implemented at this stage are not only applicable to advanced manufacturing industry,but also to general primary manufacturing industry.The lack of preferential policies for advanced manufacturing industry makes the tax support and industrial incentives for advanced manufacturing industry inadequate.Thirdly,the lack of tax incentives for advanced talents is not conducive to stimulating the innovation enthusiasm of high-quality talents.In view of the shortcomings of the current tax preferential policy for advanced manufacturing industry,this paper calculates the change of tax burden after the adjustment of VAT tax rate for advanced manufacturing industry from 17% to 16%,16% to 13%,17% to13%,and makes a comparative analysis between the tax burden of advanced manufacturing industry and that of primary manufacturing industry.The calculation results show that although the tax rate of manufacturing industry has been reduced by one percentage point,the change of tax burden for advanced manufacturing industry is not obvious.Compared with the primary manufacturing industry,the advanced manufacturing industry bears higher VAT tax burden.In this conclusion,this paper designs two sets of schemes to improve the VAT preferential policy of advanced manufacturing industry.Through comparative analysis,it is suggested to expand the scope of VAT immediate collection and refund of advanced manufacturing industry,improve the tax preferential policy of advanced manufacturing industry,and promote the development of advanced manufacturing industry in China.