The Impact Of Income Tax Incentives On Enterprise Total Factor Productivity

At the critical turning point of China’s industrial transformation and upgrading,the only way to achieve high-quality development is to adhere to innovation-driven development and comprehensively shape new development advantages.At present,the global vigorous development of a new round of technological revolution and industrial revolution of new energy automotive industry as a variety of transformational technologies emerging industries,drive the energy,transportation,information and communication infrastructure upgrade,promote energy consumption structure optimization,especially in pushing carbon up to the peak in our country and in the process of carbon neutral,will play a huge potential.Therefore,China has issued a number of preferential tax policies to promote the development of the new energy vehicle industry,so as to improve the total factor productivity of the industry and promote enterprise technological innovation,among which the impact of income tax incentives on enterprises is more extensive.Therefore,this thesis takes the new energy automobile industry as the research object and conducts an empirical study on the effect of China’s income tax preferential policies.On the basis of reviewing domestic and foreign literature,this thesis firstly defines relevant concepts,summarizes relevant theories of income tax incentives and total factor productivity,and shows the current situation of new energy vehicle industry from the perspective of industrial chain,and summarizes the current tax incentives policy from the sales end and the production end.In the aspect of empirical analysis,this thesis carries out empirical analysis based on relevant index data of A-share listed enterprises in China’s new energy vehicle sector from 2015 to 2020.LP method is adopted to measure the total factor productivity of enterprises.From the perspectives of financing structure and R&D investment,this thesis analyzes the impact of income tax preference on total factor productivity of new energy vehicle enterprises.Finally,according to the empirical results,the thesis puts forward some policy suggestions to improve the tax incentives of the new energy automobile industry.Based on the empirical study,this thesis draws the following conclusions:(1)most of the sample enterprises have high technical level and high input-output efficiency,but there are great differences in total factor productivity among enterprises.(2)The current income tax incentive policy can significantly promote the total factor productivity of the new energy vehicle industry,and the larger the enterprise scale is,the lower the asset intensity is,the more significant the promotion effect of income tax incentive is.And middle enterprise income tax preferential can promote and total factor productivity,and the impact on the middle enterprises is more apparent,yet income tax breaks to the downstream enterprise’s total factor productivity had a significant inhibition(3)preferential income tax through adjusting the financing structure of the enterprise,and promote enterprise’s total factor productivity.The adjustment of financing structure is mainly achieved by reducing external financing.Income tax preference can affect the total factor productivity of enterprises by inhibiting external financing,reducing debt cost and broadening cash flow of enterprises.(4)Income tax preference can promote total factor productivity of enterprises by increasing r&d investment.According to above analysis and the empirical results,this thesis puts forward the following Suggestions: one is through the elaboration of new energy automotive industry tax incentives and other measures to improve the income tax preferential policies of industry pertinence,2 it is through the increase of corporate financing policy support to improve the financing capacity of enterprises,3 it is to increase r&d incentives and other measures to improve the research and development ability of enterprises.