The impact of tax reduction and fee cuts policy on corporate new-form productivity: Evidence from Chinese A-share listed companies

This study utilizes data from Chinese A-share listed companies in the Shanghai and Shenzhen stock exchanges over the period of 2016–2022. A panel two-way fixed-effects model is employed to systematically investigate the impact of tax cuts and fee reductions on the new-quality productive forces of enterprises and the underlying mechanisms. The results indicate that tax cuts and fee reductions significantly enhance the new-quality productive forces of enterprises. This effect is heterogeneous across different types of enterprises, with private enterprises, enterprises in central cities, small-sized enterprises, high-tech industry enterprises, start-up enterprises, and enterprises in highly competitive industries benefiting more significantly. Additionally, the optimization of the local business environment and the strengthening of intellectual property rights protection can amplify the positive effects of tax cuts and fee reductions. Mechanism analysis reveals that tax cuts and fee reductions primarily influence the new-quality productive forces of enterprises through alleviating financing constraints, improving the efficiency of resource allocation, and promoting cooperation among industry, academia, and research institutions. The study's findings offer a new perspective for understanding the micro-level effects of tax cuts and fee reductions and provide empirical evidence for policymakers to optimize relevant policies.