Representative Lu Qingguo: Increasing support for enterprise research and development investment Scientific and technological innovation is a strategic support for promoting high-quality development of enterprises and building a modern economic power, as well as a key factor to win international competition. At this year's National People's Congress and National People's Congress, Lu Qingguo, the representative of the National People's Congress and the chairman of Chenguang Biotechnology Group Co., Ltd., suggested that relevant national departments should increase support for enterprise research and development investment, increase the proportion of additional deductions for enterprise research and development expenses, further reduce enterprise innovation costs, and promote enterprises to increase research and development investment.

Lu Qingguo introduced that in recent years, various countries have been continuously improving, adjusting, and reforming relevant policies to stimulate the vitality of scientific and technological innovation of enterprises, thereby improving international competitiveness and promoting economic growth. Global innovation activities are affecting and even determining a country's economic prosperity, national security, and people's well-being with unprecedented speed, depth, and breadth.

In order to stimulate enterprise innovation and promote enterprises to increase investment in research and development, China has issued a series of policies, and has achieved significant results. Among them, the policy of adding and deducting research and development expenses is an important measure to stimulate technological innovation in enterprises in China, and it is also the main way to provide indirect financial input to research and development activities. The "14th Five Year Plan" and the 2035 long-term goal outline propose to encourage enterprises to increase investment in research and development, and implement more inclusive policies such as additional deduction of research and development expenses, and tax incentives for high-tech enterprises. In 2021, the proportion of R&D expenses plus deductions for manufacturing enterprises will increase from 75% to 100%; In 2022, the proportion of R&D expenses plus deductions for small and medium-sized high-tech enterprises will increase from 75% to 100%.

The country places scientific and technological innovation at the core of the overall modernization drive and attaches great importance to it, which will surely provide a strong scientific and technological guarantee for China's high-quality development. However, for a long time, the atmosphere of scientific and technological innovation in China, especially for small and medium-sized enterprises, is not strong enough compared to developed countries, and one of the important reasons is the small support for scientific and technological innovation. To this end, Lu Qingguo recommended that relevant national departments increase support for enterprise research and development investment, increase the proportion of R&D expenses to 150% or deduct income tax at the proportion of 25% of R&D expenses, further reduce enterprise innovation costs, stimulate enterprises' enthusiasm for independent innovation, create an atmosphere for enterprises to compete for innovation, and encourage enterprises to actively increase R&D investment and actively innovate, So as to continuously enhance the advantages of Chinese enterprises in international competition.