Accelerated depreciation to the enterprise what good

Accelerated depreciation refers to the method of shortening the depreciation life and increasing the depreciation rate in accordance with the tax law, to improve and accelerate the depreciation speed and reduce the taxable income of a tax incentive measures;

Accelerated depreciation to the enterprise to bring the benefits in the following aspects:

Reducing the corporate tax, improve the cash flow of the enterprise

1. corporate income tax, but also enhance the company's ability to finance. Accelerated depreciation is a kind of tax incentives;

2. Accelerate the updating and upgrading of fixed equipment of traditional manufacturing enterprises, accelerated depreciation can alleviate the pressure of short-term capital chain of the enterprise, and promote the enterprise to speed up the updating of technology and equipment, and accelerate the updating of equipment to further improve the production capacity and operating conditions, and further increase the profits of the enterprise, so that industrial upgrading can be accelerated;

3. Benefit small and medium-sized enterprises to Improve innovation ability, accelerated depreciation extraction, reduce the corporate tax burden, corporate cash flow is more abundant, but also more conducive to small and medium-sized enterprises to buy updated equipment, scientific and technological research and development and innovation, and constantly launch higher value-added, more competitive market products, accelerated depreciation can make the enterprise to accelerate the updating of equipment, the use of new technology, research and development of new technologies, and constantly scientific and technological innovation, is conducive to improving the innovation ability of small and medium-sized enterprises, and further Completion of industrial transformation and upgrading;

All in all accelerated depreciation, to the enterprise to reduce taxes and increase cash flow. Promote the traditional manufacturing industry to update production equipment, is conducive to small and medium-sized enterprises to improve innovation ability, overall improve enterprise labor productivity, and further complete the transformation and upgrading of industry.