Analysis Of The Relationship Between Tax Incentives And Enterprise Innovation Performance

Innovation provides inexhaustible power to social development.Tax incentive,as an effective tool to accelerate industry research and development,has been widely used in every country around the world.This thesis contains case analysis of three major problems which are “tax incentive and industry research and development”,“research investment and patent output” and “research investment and productivity” to verify the real impact on industry innovation performance from the tax incentive.First of all,tax incentive increases patent output.It offers positive effect on patent sum and the quantity of invention patent while doesn't have much influence on utility patent and design patent.From quantitative analysis,enterprise development investment can boost 1.35% when the income tax decreases 1%.As a result,the patent sum,the number of invention patent application,patent authorization sum and the number of invention patent authorization increases 0.159 unit,0.06 unit,0.091 unit and 0.05 unit respectively.Then,tax incentive improves patent quality.With quantitative analysis,the average time of patent application drops 3.1 days when industry income tax decreases by 1%.Meanwhile,tax incentive accelerates industry productivity.It provides more significant impact on state-owned enterprises than on private enterprises.With quantitative analysis,when industry income tax reduces 1%,the gross output will increase 1.539% and the value added will improves by 0.878%.To sum up,this thesis indicates that the tax incentive of our country provides obvious and positive influence on industry innovation performance.When formulating tax incentive policies,China should optimize the design of policies,refine the implementation of tax incentive policies,and improve the actual implementation effect of relevant policies.