Research on the Impact of Additional Research and Development Expenses Deduction on Technological Innovation of Manufacturing Enterprises

At the present stage, the international situation is becoming more and more tense, and the R&D and innovation ability is an important standard to measure the comprehensive strength of a country. For this reason, China has introduced many fiscal and tax policies to incentivize enterprises to carry out technological innovation activities, among which one of the preferential policies with the widest scope of action and the greatest strength is the policy of additional R&D expenses deduction. Taking A-share enterprises in China's manufacturing industry from 2013-2020 as a sample, this paper finds that China's manufacturing enterprises are incentivized to improve their technological innovation level after enjoying a higher proportion of tax incentives, and that the policy has a more significant incentive effect on non-state-owned manufacturing enterprises and manufacturing enterprises in the eastern region.