ABSTRACT
Fiscal and taxation policies play a direct and crucial role in supporting independent innovation and building an innovative country. This chapter analyzes related fiscal and taxation policies in support of independent innovation in major developed countries and some representative developing countries, and puts forward some useful suggestions and enlightenment on perfecting China’s fiscal and taxation policies. Developed countries such as the United States, Japan, and major EU countries, as well as the newly industrialized country, South Korea, are internationally recognized as innovative countries. The fiscal and taxation policies for independent innovation in developed countries follow the law of science and technology innovation, embody in the aspects of ex ante support and ex post encouragement with flexible and diversified policy instruments, and emphasize on the high efficiency of application. When developed countries use their preferential taxation policies to encourage independent innovation, they all attach great importance to the effectiveness of preferential taxation policies.
