Tax And Financial Information Sharing Can Prevent Enterprises From "Two Sets Of Accounts"

In March 11th, the CPPCC National Committee member and the director of Shanghai Banking Regulatory Bureau < a href= "http://www.91se91.com/news/index_c.asp" > Liao min < /a >, in an interview with reporters, suggested that we should strengthen the information docking between banking and taxation departments and prevent enterprises from "two sets of accounts". < /p >
< p > Liao Min said that in real life, the accounts that some enterprises reported to tax departments and accounts for < a href= "http://www.91se91.com/news/index_c.asp > > /a > /a are different: in tax departments, tax receipts will be reported as low as possible, while in banks, high income will be reported in order to get loans. < /p >
< p > if we can achieve < a href= "http://www.91se91.com/news/index_c.asp" > tax department < /a > and information sharing between banks, on the one hand, when the bank loans, we can know the financial situation of the enterprise from the tax department and make a better judgement. When we credit, we can verify the authenticity of the VAT invoice and guard against financial risks. On the other hand, the tax authorities can understand the liabilities and credit situation of enterprises through banks, so as to better supervise the tax payment of enterprises. < /p >
< p > as a member of the financial law enforcement department at the grass-roots level, Liao Min has deep understanding of the difficulties in filing the case, difficulties in litigation and difficulties in enforcement. In recent years, the financial risks of the Yangtze River Delta region have taken the lead. The Shanghai banking regulatory bureau has also handled many financial cases involving enterprises. < /p >
< p > he thinks that because some financial cases can not be put on file in time, enterprises can not get timely treatment of the bank's funds by malicious cheating. They have missed the best time to collect evidence and lawsuits. Even some enterprises have made malicious assets transfer through various means. For banks, even if it is difficult for them to win more assets, they will have to increase their costs and choose to give up. < /p >
"P >" we can not tolerate such a situation, which is a serious damage to the order of the financial market. It is hoped that the high law court will punish the behavior of malicious transfer of assets and evade debts, and be bound by system and law. < /p >
< p > Liao Min pointed out that the difficulty of sanctions is the implementation of the system. Since the credit reporting system has not yet been established, the person in charge can still maintain the standard of living after the bankruptcy of the enterprise, thus failing to play the role of disciplinary action. < /p >
< p > related links: < /p >
Companies with complex global supply chains (P) are beginning to get involved in lengthy discussions with countries and regions to avoid the risk of double taxation. Although there is a tax agreement on this issue, it is not foolproof. The tax authorities are increasingly concerned about the risk of double taxation. They ask whether enterprises are transferring their revenues from high tax rates to low tax rates by manipulating the internal organizational structure and transfer pricing agreements. < /p >
< p > another challenge comes from digital commerce. If business activities depend on the physical existence of enterprises, the taxable profit is very clear. Now, the location of the business and the location of its income may be far apart. < /p >
Customers of P Europe may pay a service charge to an Irish based company whose IT server is far away from India. Even if a warehouse is located in Germany, it does not necessarily constitute a permanent facility under the standard tax agreement. < /p >
< p > tax confirmation by resident is one of the six major areas of pressure identified by the organization for economic cooperation and development (OECD) in the February 2013 report on tax base erosion and profit transfer. Other areas of pressure include: the mismatch between the characteristics of corporate entities and trading tools, group financing, transfer pricing, the effectiveness of anti avoidance rules and the existence of tax ex gratia. < /p >