The Impact Of The Super Deduction Of R&D Expenses On The R&D Investment Of Enterprises

At present,China has entered a new stage of development,so it is necessary to establish a new concept of development and construct a new model of development.Today,the world is undergoing unprecedented changes.How to make major breakthroughs in the new round of technological and industrial revolution to achieve high-quality development has become a topic of The Times.Innovation is the primary driving force for development and an important strategic underpinning for China to build a modernized economy.The "fourteenth Five-year Plan" points out that it is necessary to further shape the new development advantages and find the right focus,that is,to constantly strengthen the dominant position of enterprises in innovation,ensure that the relevant elements of innovation continuously converge to enterprises,so as to establish a high-tech innovation system dominated by enterprises with high quality and high speed.In fact,whether it is to improve the quality of economic development,or the current grand goal of building a scientific and technological power,the core lies in improving the independent innovation ability of enterprises so that they can have high-quality and large-scale scientific research achievements,of course,the premise is that enterprises greatly enhance their investment in scientific research innovation of human,financial and material strength.In other words,if enterprises want to achieve independent innovation,they need to increase investment in RESEARCH and development,use new technologies to develop new products,so as to quickly seize the market and realize their own value.However,research and development has many uncertain factors such as high risk and positive externality,which leads to the problems of insufficient motivation for continuous investment,low efficiency of resource allocation and unreasonable investment mode.Therefore,it is necessary for government departments to introduce a series of fiscal or tax preferential policies to attract and subsidize enterprises.As a major tax incentive,the additional deduction for R&D expenses is considered to be one of the most effective incentives.In order to implement the innovation-oriented development strategy,improve the inclusive innovation policy,promote enterprises to increase r&d investment,and improve scientific and technological innovation capacity,the Chinese government has increased the preferential treatment for additional deductions in recent years.In this context,this paper will take the policy change of additional deduction of R&D expenses promulgated in 2015 and implemented in 2016 as a "quasi-natural experiment" to study whether the policy really has an incentive effect on enterprise R&D investment.Starting from the background that China has entered the stage of high-quality development,this paper expounds the necessity and importance of increasing r&d investment for enterprise innovation.Based on the existing research results at home and abroad,this paper analyzes the direction of further research on the policy of additional deduction for R&D expenses,and puts forward the innovation points and shortcomings of this paper.Next to the research and development activities,enterprise r&d claim additional deduction and r&d expenses such as concept definition,and the innovation theory,the externality theory and endogenous growth theory and relevant theory,on the basis of an analysis claim additional deduction r&d policy by lower r&d costs,share the risk of research and development,and alleviate the financing constraints three aspects directly or indirectly affect corporate r&d investment.Then,the author sorts out the additional deduction policy of R&D expenses in China,and finds that since the policy was issued,the project scope has been expanding,the process has been simplified,and the applicable subjects have been changing.After that,the current situation of R&D investment in China is deeply analyzed from the two aspects of R&D expenditure and personnel,and it is concluded that the current r&d investment in China has some problems,such as weak intensity,unbalanced structure of R&D expenditure and single financing channel.In order to verify the three hypotheses proposed according to the research purpose and direction of this paper,this paper implemented the policy of expanding the scope of subjects applicable to additional deduction of R&D expenses from 2016.Based on Wind data and related financial data of A-share listed companies in Shanghai and Shenzhen from 2013 to 2019,The double difference model was constructed to study the effect of the policy to the enterprise r&d,and further analyzed,explore the financing constraints,and operating cash flow claim additional deduction in the policy to promote the process of r&d,is how to play its role,in addition,the triple difference analysis,explore the nature of different enterprise whether can produce different reaction to policy.The empirical results show that the additional deduction policy can significantly improve the intensity of r&d investment;In terms of influencing mechanism,financing constraint and operating cash flow act as intermediary bridge.The expansion of the subject range of additional deduction has a greater incentive effect on private enterprises than on state-owned enterprises.Combined with theoretical analysis and empirical conclusions,this paper proposes that the additional deduction of R&D expenses should be strengthened from the perspective of increasing the proportion of additional deduction and expanding the scope of R&D expenditure.Meanwhile,it is suggested that local governments should be given some discretion to ensure the difference and fairness of policies.In addition,tax authorities should fully consider the cross-effects of various preferential tax policies to ensure that additional deduction policies can play their due effects as expected.In order to effectively improve the r&d investment level of enterprises and enhance their innovation strength,the government should also be committed to improving the diversified investment mechanism to broaden the financing channels of enterprises,vigorously promote the cooperation between enterprises,universities and research institutes and strengthen the protection of intellectual property rights,so as to escort the innovation of enterprises.