Abstract: Small and medium-sized enterprises，an important part of China’s economy，contribute greatly to the GDP growth，tax revenue securement，and employment increase，and，therefore，their sustained and healthy development is of great significance to the country’s economic restructuring and response to the decreasing economic growth rate. To support these enterprises，the government has taken steps to reform taxation，implement structural tax cuts，and replace business tax with value-added tax，but these measures do not seem to let them feel relieved from the burdens. On the contrary，they feel there are still too many items of taxes and non-tax expenses are not substantially reduced. This is because：1. the taxation reform has both tax reduction and tax increase effects and the increase effect offsets the perception that the reduction effect brings about；2. tax collection has diluted the effect of some preferential policies，leading to an unsatisfactory implementation of the policies；3. the non-tax expense reduction and exemption are not encouraging enough to substantially relieve the burdens of the enterprises. This paper puts forward some proposals for taxation reform，government taxation optimization，and reduction of non-tax expenses of enterprises.

Key words: small and medium-sized enterprises, tax reduction, tax burdan, double effects