Since the enactment of the Enterprise Income Tax Law in March 2007, in the past ten years, my country's enterprise income tax rate has been implemented at a rate of 25%, and high-tech enterprises have implemented an income tax rate of 15%. However, the domestic and international economic situation has undergone major changes. The current enterprise income tax has caused a greater burden on enterprises.

At this year's National People's Congress, Nie Pengju, deputy to the National People's Congress and chairman of Hunan Kolier Electric Group Co., Ltd., suggested that the corporate income tax rate should be reduced to 17%, and the high-tech corporate income tax rate should be reduced to 13%. The expenditure on production equipment for imported products shall be subject to a one-time deduction of 150 before corporate income tax.

Nie Pengju believes that the current corporate income tax rate is not conducive to corporate financing. According to the survey, whether it is financing from bank loans or through equity or debt financing in the capital market, the company's net profit is a very important measure. The general enterprise's 25% corporate income tax rate, corporate income tax directly affects the enterprise's profit statement, so that the company's financial indicators are greatly discounted, not conducive to corporate financing, not conducive to the expansion of production and reinvestment.

The current corporate income tax increases the burden on enterprises. According to the survey, the high corporate income tax rate reduces the return on investment of enterprises. In addition, in recent years, my country's labor cost dividends have gradually disappeared, and the corporate income tax has not been reformed, which increases the burden on enterprises and reduces The willingness of enterprises to invest is not conducive to the development of my country's economy.

The current corporate income tax rate hinders the international competitiveness of enterprises. According to the survey: in the past ten years, 33 of the 36 OECD countries have lowered the comprehensive corporate income tax rate. Most of the OECD countries are representative developed countries in the world. In 2016, the United Kingdom approved the policy of lowering the corporate income tax rate and reduced the corporate income tax rate to 17%. In 2017, the United States carried out the largest tax reduction reform in history, S. corporate income tax rate from a progressive rate of 35 percent to a single rate of 21 percent. Data show that Russia's corporate income tax rate is 20 per cent, Switzerland's 18 per cent, Singapore's 17 per cent and Hong Kong's 16.5 per cent, all lower than China's current 25 per cent tax rate. In the context of globalization, China's corporate income tax reform will hinder the international competitiveness of enterprises.

Nie Pengju suggested that since the implementation of the tax reduction and fee reduction policy, the value-added tax reform has always been the highlight, but the corporate income tax reform has not been touched. It is recommended that relevant ministries and commissions formulate a more complete corporate income tax system to effectively reduce the burden on enterprises.

The corporate income tax rate was reduced from 25 per cent to 17 per cent, and the income tax rate for high-tech enterprises was reduced from 15 per cent to 13 per cent, reducing the burden on enterprises, increasing their return on investment, enhancing their willingness to invest and further optimizing the business environment.

A one-time deduction of 150 per cent before enterprise income tax shall be applied to the expenditure on production equipment for the production of high-precision and imported products. In order to encourage the company's research and development, the expenditure on production equipment that produces high-end and replaces imported products will be deducted by 150 before the enterprise income tax, so as to improve the enthusiasm of enterprises in scientific research, enhance China's scientific and technological strength, and get rid of the dilemma of being "stuck neck.

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