Abstract:
The Environmental Protection Tax Law has played a significant role in promoting green and low-carbon development and ecological civilization construction, warranting in-depth investigation of its impact on bond markets. Using the implementation of the Environmental Protection Tax Law as a quasi-natural experiment, this study adopts, for the first time, a dual perspective of "legal deterrence-tax incentive" and finds that environmental tax reform significantly reduces bond credit spreads of heavily polluting enterprises. On one hand, a more independent and standardized environmental regulatory enforcement system has enhanced the deterrent effect of environmental regulations. To avoid severe penalties such as substantial fines and production shutdowns, heavily polluting enterprises have generally adopted systematic environmental governance measures, significantly reducing the risk of sudden cash flow disruptions. On the other hand, differentiated tax rate designs and tiered emission reduction tax incentives have strengthened the endogenous motivation of heavily polluting enterprises to participate in environmental governance, leading them to implement circular production technology upgrades, continuously improve environmental performance, and conduct high-quality environmental information disclosure. The combined effect of these mechanisms reduces the risk premium demanded by investors, thereby narrowing bond credit spreads for heavily polluting enterprises. Further analysis reveals that business environment uncertainty weakens the spread-reducing effect of environmental tax reform, while media attention amplifies this policy effect. Moreover, narrowed bond credit spreads provide heavily polluting enterprises with a more accommodative financing environment, promoting enterprises to increase technology-improvement-oriented green innovation activities. This study provides theoretical foundations and policy implications for improving the green tax system and serving high-quality economic development.
下载:
