Research On The Impact Of Value Added Tax Deduction Policy On The Development Of Living Services Industry

In order to thoroughly implement the policy of the Party and the State on "tax reduction and fee reduction" on a larger scale,and promote the socio-economic development affected by the epidemic,the reform of value-added tax has been ongoing.In 2019,the Ministry of Finance and the State Administration of Taxation have issued a series of preferential tax policies,including the "additional tax deduction" policy for the service industry,which was also proposed for the first time.For VAT,whether the tax rate is reduced or the deduction is added,both are the key indicators to evaluate the economic effect of VAT reform on enterprise development.However,since the valueadded tax plus credit policy is a temporary policy and is only aimed at service enterprises that meet the target,the academic community has less direct discussion on the economic effect of the policy,and more is the discussion on the effect of reducing the value-added tax rate.Therefore,on the basis of attempting to use fixed effects and other empirical testing methods,this article analyzes the impact of the value-added tax deduction policy on the development of the living services industry by calculating the data,and provides supporting empirical data for the impact of the value-added tax deduction policy on the development of the living services industry.This paper screened the samples and selected the quarterly financial data of living service enterprises from 2018 to 2019.Through correlation analysis,variance expansion factor and other methods,the feasibility of using the data for empirical research was determined.At the same time,the two-way fixed effect model of control time and individual is determined by using empirical methods such as Hausman test and control effect,and the policy variable of plus and minus,operating profit index of living services and other control variables are introduced into the model for empirical research.In addition,by grouping and heterogeneity regression of enterprises with different business nature,we test the impact of policies on state-owned enterprises,private enterprises and foreign enterprises with different business nature and enterprises in different regions of the east,middle and west.Finally,the robustness of the assumptions and conclusions proposed in this paper is tested by using different regression models,adjusting the sample period and changing the sample data.Through empirical research,the final conclusion is that the implementation of the policy has a significant promoting effect on the operating profit of the living service industry enterprises,and has a significant positive incentive effect on the development of the living service industry.However,since the addition and deduction policy is a temporary policy,this paper also puts forward some personal expectations and suggestions for the future development of this policy on the basis of the research conclusions.During the period of validity of the policy,the publicity of the policy should be strengthened to enable the enterprises in the life service industry to make timely and effective use of the preferential policies;When the policy is about to expire,we can study and judge whether the policy needs to be extended according to the current development of the life service industry,and we can slowly promote the withdrawal of the policy by gradually reducing the deduction proportion;After the expiration of the policy,we can assess whether the human cost can be included in the input tax deduction scope,reduce the tax burden of labor-intensive enterprises,and improve the valueadded tax structure through the addition and deduction policy.