A Study On The Impact Of Tax Incentives On The Cash Dividend Payment Level Of Enterprises

As a key link in the company’s three major decisions,dividend policy is a main way for the company to show its performance and development potential to the society and return to investors,as well as an important way for shareholders to obtain dividends.In the process of corporate governance,the company’s managers can obtain more information in the company than the company’s owners.In the operation of the company,companies with good corporate governance have strong competitiveness.Encouraging investors with cash dividends can also be seen as the company’s external transmission of internal information to help investors distinguish between good companies and bad companies.The dividend system is a key link in the financial management of enterprises,which has always been widely valued by the academic community.At present,many studies have shifted their perspectives from the internal activities of the company to the impact of the external macro environment.In the context of national macro-control,tax policy has always played an important role.From a micro perspective,it can provide tax incentives from different perspectives for the production and operation development of enterprises,and create a good market environment and tax environment for enterprises.A reasonable tax incentive policy can play a positive role in promoting the value of listed companies in China and the healthy development of various industries and industries.China is in the period of economic restructuring and transformation.Even though China’s socialist market economy is showing a state of prosperity and development compared with the past,enterprises are facing various severe tests brought about by environmental uncertainty while developing in an independent,equal and open market.After summarizing and sorting out the academic achievements related to the research topic of this paper,this paper introduces the mechanism variable of financing constraint,and explains the concepts of tax incentive,enterprise cash dividend payment level,and financing constraint in detail based on dividend distribution theory,market failure theory,signaling theory,principal-agent theory and other theoretical foundations and main viewpoints,and constructs a functional mechanism framework to explain tax incentive At the same time,it points out that there is heterogeneity in the relationship between financing constraints and cash dividend payment levels of enterprises,and accordingly puts forward four hypotheses.Finally,an empirical model is established to carry out analysis to verify the four hypotheses.In the process of empirical research,this paper uses multiple regression to conduct overall and group regression.There are 21022 sample observations in this paper,and the time period is from 2007 to 2019.The data mainly comes from listed companies in China’s A share non-financial industry.Through normative analysis and empirical research methods,this paper systematically tests the relationship between tax incentives and cash dividend payment levels,as well as the mechanism effect of financing constraints.In addition,this paper controls the possible endogeneity by lagging the main variables,and replaces the explanatory variables to prove that the research results are still robust.Finally,the following three conclusions are drawn:(1)The level of tax incentives and cash dividends paid by enterprises are positively changing when other conditions remain unchanged.(2)Based on the mechanism test of financing constraints,tax incentives can ease the financing constraints faced by enterprises,making enterprises more willing and able to improve the payment level of cash dividends.(3)Different levels of marketization and the nature of property rights have different effects on the relationship between tax incentives,financing constraints and the level of cash dividends paid by enterprises.For enterprises with low marketization and non-state-owned enterprises,the role of financing constraints is more obvious.Finally,based on the research results,the paper draws research inspiration and gives policy recommendations from the perspective of government and enterprises respectively.