Research On Fiscal And Taxation Support Policies And The Operational Performance Of Returning Entrepreneurial Firms

At present,China’s population flow has entered a new stage,and the return of migrant workers presents a new feature that they are more inclined to return to their hometowns permanently rather than temporarily.Many migrant laborers have returned to their hometowns to start businesses to seek self-development.These returning entrepreneurs who have worked hard for many years and accumulated certain resources and experience have injected vitality into the local economic development.Returning home to start a business plays an important role in driving employment through entrepreneurship and promoting rural revitalization in an all-round way.The state has introduced a series of policies to support labor returning to their hometowns to start businesses.Fiscal and taxation support policies are the most important policy tools to encourage and support laborers to return to their hometowns to start businesses.Studying how to play the role of fiscal and taxation support policies is crucial to promoting the high-quality development of returning hometown startups.This study uses the survey data of 2,139 returning home start-ups in 2019 to analyze the impact of fiscal and taxation support policies on the business performance of returning home start-ups.The study found that:(1)The four fiscal and taxation support policies of tax relief,financial subsidies,loan guarantees,and land use concessions can significantly improve the business performance of the nationally-returned entrepreneurial enterprises.Loan guarantee policies can significantly improve the business performance of start-up enterprises in the eastern region;tax relief,financial subsidies,loan guarantees,and preferential land use policies can all significantly improve the business performance of return-to-home start-up enterprises in the central region.Tax reduction and exemption policies can significantly improve the business performance of returning home-based startups in the western region.(2)The tax reduction and exemption policy can significantly improve the business performance of the primary and secondary industries returning home start-up enterprises,the financial subsidy policy can significantly improve the business performance of the primary industry returning home start-up enterprises,and the tax reduction and exemption,loan guarantee,and preferential land use policies can significantly improve the performance.To improve the business performance of the low-end tertiary industry returning home start-up enterprises,the financial subsidy policy can significantly improve the business performance of the high-end tertiary industry returning home start-up enterprises.(3)Fiscal and taxation support policies can hardly improve the business performance of survival-oriented return-to-home entrepreneurial enterprises.Tax relief,financial subsidies,loan guarantees,and preferential land use policies can significantly improve the business performance of development-oriented return-to-home entrepreneurial enterprises.Significantly improve the operational performance of value-based return-tohome entrepreneurial enterprises.(4)Entrepreneurial spirit,especially the spirit of innovation,plays a partial intermediary role in the impact of fiscal and taxation support policies on the business performance of returning entrepreneurial enterprises.Based on the above conclusions,relevant policy suggestions are put forward,including:continue to increase the propaganda of the financial and taxation support policies for returning home to start a business,simplify the policy application and approval procedures,and pay attention to the difficult enterprises under the influence of the epidemic,so as to retain the green hills and win the future.Specifically,it is necessary to strengthen the coordination and cooperation of a number of fiscal and taxation support policies;according to the effect of policies of different regions,different industries and different types of entrepreneurial enterprises returning home,more targeted and differentiated fiscal and taxation support policies should be introduced and implemented to increase the level of policy support.Accuracy;attract and cultivate high-quality return-to-home entrepreneurship through fiscal and taxation policies,and increase support for survival-oriented enterprises;strengthen special financial investment in entrepreneurial training and education and enterprise innovation and R&D,and cultivate,explore and improve return-to-home entrepreneurship Entrepreneurial spirit of the people,encourage enterprises to innovate,so that the government and enterprises can form a joint force to jointly promote the high-quality development of return-to-home entrepreneurial enterprises.This research provides a powerful policy reference for further improving and formulating fiscal and taxation support policies to support return-to-home entrepreneurial activities,and has theoretical and practical significance.