Effectiveness Of Preferential Tax Policy About Innovation And Entrepreneurship

During The Summer Davos Forum in 2014,Premier Li Keqiang put forward the concept of “mass entrepreneurship and innovation”.From then on,the wave of development between entrepreneurship and innovation have raised in China.At present,entrepreneurship and innovation has blossomed throughout the country.It is a key task for the government to help enterprises in entrepreneurship and innovation.As an important way for the government to guide enterprises in choosing directions of development,preferential tax policy plays a significant role in cultivating growth of entrepreneurship and innovation.Acting as specific implementers,tax authorities,especially primary tax authorities,have a major influence in promotion effectiveness of preferential tax policy.The article has constructed research framework,based on Tax Incentive Theory and Public Policy Evaluation Theory.Firstly,it analyses implementation background of preferential tax policy of entrepreneurship and innovation,along with Tax Incentive Theory and Public Policy Evaluation Theory.Secondly,it studies implementation of preferential tax policy of entrepreneurship and innovation in Province B.It finds out policy implementation mechanis m of primary tax authorities for enterprises under different corporate lifecycles,by empirica l evidence about implementation work for preferential tax policy of entrepreneurship and innovation in Province B from 2016 to 2018.Then it discusses effects of implementation work for preferential tax policy of entrepreneurship and innovation in Province B.On the basis of case study and questionnaire investigation,it finds out three key factors in needs of policy implementation mechanism for preferential tax policy of entrepreneurship and innovation.They are corporate lifecycles,enterprise structure in division of labor and profits.Therefore,it points out the problems of lack of flexibility in policy,backward ways of implementation and high cost of enjoyment.Last,it suggests to provide efficient and creative ways of implementat io n,broaden policy enjoyment and provide policy promotion service on demand to optimize implementation work for preferential tax policy of entrepreneurship and innovation.