Ways To Improve The Effectiveness Of Tax Planning

Tax planning is a basic right of enterprises. The right of tax planning is similar to other rights of enterprises. There is a specific boundary between them.

The rights and obligations of enterprises can be converted to each other: when the defects in the tax law are corrected or the tax law is not clear, the corresponding planning rights will be converted into tax obligations.

If the excess progressive tax rate is changed to a fixed proportional tax rate, the taxpayers will not use the different tax rates of progressive grades. When the tax laws or regulations are reinterpreted and clearly defined, the taxpayers may no longer have the right to make plans; when the specific contents of the tax laws or regulations are abolished, the conditions for tax planning will disappear, and the planning rights of enterprises will be converted into tax obligations.

First of all, we should standardize the accounting behavior of enterprises.

Setting up a true and complete accounting book and compiling a real and objective financial accounting report are not only the basic needs of paying taxes according to law, meeting the basic requirements of tax administration, but also the foundation of tax planning for enterprises.

Secondly, the tax planning of enterprises is a complex pre planning and financial measurement activities.

It is required that enterprises should arrange and plan for operation, investment and financial management according to their own actual conditions, and then reasonably control some economic activities. Therefore, we must establish a scientific and strict examination and approval mechanism and implement scientific decisions, so as to make the tax planning of enterprises get on the right track.

In addition, we should strengthen the prevention and control of tax planning risks.

Enterprises should face up to the objective existence of risks, set up risk awareness of tax planning, and keep vigilance against planning risks in production and operation processes and tax related matters.

Through effective risk warning mechanism, the potential risks in the planning process are monitored in real time, and the root causes of risks are found in time. Effective measures are taken to curb the risk of tax planning.

Any tax planning scheme is based on information collected by enterprises in a certain time and certain tax legal environment, and has strong pertinence and timeliness. Therefore, tax planning is a creative thinking activity.

It requires the stimulation of input information and can be formed on the basis of a large number of objective materials.

This means that to improve the effectiveness of enterprise tax planning, there must be a set of perfect information collection and pmission system and tax planning database, so as to achieve the accuracy, completeness, timeliness and relevance of tax planning.

There are many methods of tax planning, which can be divided into preferential tax planning methods, conservation oriented tax planning methods, and avoidance of tax violations.

Preferential tax planning includes three aspects: fully understand the basic content of tax preferential policies; grasp the necessary conditions for obtaining preferential tax policies; and strive for the necessary conditions.

Approval.

Conservation oriented tax planning aims at reducing and avoiding repeated tax expenditures, adjusting and canceling the production and operation behavior of tax payment and duplication of expenditure, so as to avoid the planning of tax illegal activities.

The main purpose is to grasp and understand the provisions and explanations of tax elements, and avoid losses caused by mistakes in knowledge.

In addition, since the taxable amount of all taxes is determined through tax adjustment through accounting results, the tax law does not specify the accounting treatment method or there are many accounting treatments. The result of accounting is the amount of tax payable. Therefore, the purpose of tax planning can be achieved through the selection of accounting policies.

When making specific plans, the enterprises should combine their own actual conditions and weigh them together, so that the above methods can be combined and achieve better results.

Fundamentally speaking,

It belongs to the category of enterprise financial management.

Its goal is determined by the goal of enterprise financial management -- the maximization of enterprise value.

Tax planning must focus on this overall goal and integrate it into the overall investment and operation strategy of the enterprise. It should not be limited to individual taxes, nor should it focus solely on tax saving.

In other words.

Tax planning should first focus on the reduction of the overall tax burden, not just the individual.

The tax burden is reduced.

This is because the tax base of each kind of tax is interrelated and has the same relationship. The reduction of a certain tax base may lead to the expansion of the tax base of other taxes.

Therefore, tax planning should not only consider the tax saving interest of a tax, but also consider the factors of interest offset between multiple taxes.

Secondly, although tax benefits are an important economic benefit of enterprises, they are not all economic interests of enterprises. The reduction of tax on project investment is not equal to the increase of the overall interests of taxpayers.

If there are many alternatives to choose from, the best solution should be the one with the largest overall interest, rather than the lightest tax plan.

Even a tax planning scheme can make taxpayers' overall tax burden the lightest, but not the overall interests of taxpayers.

For example, if a tax planning scheme is provided to the taxpayer, he will be exempted from all taxes, provided that the business performance is controlled below the threshold.

This tax planning plan will be rejected.

Because the implementation of the scheme will reduce the tax burden of taxpayers to zero, but the scale and income of the taxpayer are also subject to the greatest restriction, which is obviously not desirable.

Therefore, taxpayers or intermediaries should comprehensively consider the tax planning and make a comprehensive trade-off, so they can not plan for planning.