Due to the emergence of modern professional managers and the separation of ownership and management rights, many bosses do not directly participate in enterprise management, but are managed by professional managers. These professional managers may resort to fraud in order to get bonuses, performance and good reputation in the industry. At the same time, subsidiaries will pursue the maximization of the company's interests regardless of the interests of other subsidiaries, such as entering the same industry and competing in the same industry. The establishment of a group company is conducive to overall consideration of unified procurement and sales, to improving the bargaining power of the company and to avoiding vicious competition; The group is conducive to the unified arrangement of liquidity, ensuring the smooth flow of funds and improving the utilization rate of funds; The Group is also conducive to ensuring the stable performance of subsidiaries and realizing the planned profit transfer. For example, many listed companies realize the soaring share price by transferring the profits of their subsidiaries (unlisted) to listed companies, and then transfer the profits to their subsidiaries (unlisted) when the performance is too good to reduce the tax burden. Here, the planned transfer of the price difference may be realized mainly by adjusting the transaction price; It is possible for the group to set up an audit function to supervise its subsidiaries to avoid fraud.
If the tax belongs to the subsidiary, it shall be paid by the subsidiary, and some special groups (Sinopec) shall pay it uniformly, and if it belongs to the group company, it shall be paid by the group; As long as you pay a copy of the income, you don't need to pay it again.