Abstract: Taking tax reduction as the breakthrough point, this paper selects the import and export trade data of China′s industrial enterprises and customs from 2000 to 2006, constructs instrumental variables by using the policy impact of value-added tax transformation reform in Northeast China in 2004, systematically examines the impact of VAT effective tax rate on enterprise exports from two dimensions of export decision-making and export performance, and identifies its internal mechanism.It is found that the decrease of effective tax rate of VAT can improve the export propensity and export performance of enterprises. This effect is different due to the different ownership, scale, profit level and technical level of the industry. Non-state-owned enterprises, small enterprises, low profit enterprises and general technology industries are more affected.The test of the impact mechanism shows that productivity improvement and product competitiveness improvement are the main channels through which the effective tax rate of VAT affects the export decision-making and export performance of enterprises. Therefore, we should continue to deepen the reform of tax system, reduce the tax burden of enterprises, pay attention to fairness and rationalization, and give full play to the guiding and incentive role of tax reduction policies.

Key words: tax reduction, export decision, export performance, effective tax rate of VAT