Abstract: Based on the latest panel data of 30 provinciallevel administrative regions in China, the principal component analysis method was used to measure the high quality economic development index of Chinas economy, and the systematic GMM method was selected to empirically investigate the impact effect of environmental protection tax and industrial agglomeration on high quality economic development.The results show that: the overall level of high quality development of Chinas economy is flat, and the eastern region is better than the national average, while the central, west and northeast regions are lower than the national average.Nationwide, the narrow sense of environmental protection tax promotes high quality economic development, while the broad sense of environmental protection tax functions instead, and the agglomeration of manufacturing and service industry significantly promotes high quality economic development.The regression of interaction term shows that the deepening of industrial agglomeration and the improvement of regional technological innovation can promote technological progress and high quality economic development.The research has important policy enlightenment for optimizing environmental protection tax, promoting industrial green upgrading, so as to improve the level of high quality economic development.

Key words: environmental protection tax; industrial agglomeration; high quality development; technological innovation