Research on the impact of tax and fee reduction on enterprise ambidextrous innovation

Reducing taxes and fees is an important fiscal policy to promote the innovation activities of micro subjects. This paper takes the ambidextrous innovation of Chinese enterprises as the starting point, selects the data of Chinese A-share listed companies from 2008 to 2021, examines the impact of tax and fee reduction policies on the ambidextrous innovation of enterprises, and explores the internal control and institutional environment from the internal and external perspectives. The relationship between tax and fee reduction and enterprise ambidextrous innovation. The results show that: (1) Tax and fee reduction have a significant positive impact on both exploratory innovation and exploitative innovation, and have a greater impact on exploitative innovation. (2) Internal control positively moderates the relationship between tax cuts and enterprise ambidextrous innovation, and the moderating effect on exploratory innovation is more significant. (3) The institutional context solely serves as a positive moderator in the relationship between tax reduction and exploratory innovation. Hence, to effectively enhance the influence of tax and fee reduction policies on the dual innovation of firms, it is imperative to enhance the creation and implementation of enterprises’ internal control system and establish a attractive institutional environment.