Tax reduction means that taxpayers reduce their taxes through legal tax reduction measures within the scope of national tax policies. Tax reduction measures are usually to encourage enterprises to invest, promote employment and innovation, or to reduce personal burden and improve people's livelihood and welfare.

The purpose of government tax reduction is to promote economic development and social stability. Taxpayers can use various policies to reduce their tax payable, such as donating money to charities, buying green products, and setting up scientific and technological enterprises. , you can enjoy tax relief.

Tax reduction can improve the competitiveness and economic benefits of enterprises, create more employment opportunities for society, reduce the tax burden of individuals and improve people's living standards. However, the government should formulate a timely tax policy according to the national conditions, so that tax reduction will not excessively reduce fiscal revenue and lead to the inability to provide public services, thus ensuring the sustainable development of the national economy and people's livelihood.