How does finance reduce enterprise income tax

1, you can't have no income for three consecutive months, and you can take income without invoicing. 2. There are many ways to increase expenses, such as reasonable expenses, tickets, proper invoices for meals, depreciation of fixed assets, salary increase, supermarket shopping invoices (food), welfare expenses, etc. After the implementation of the new enterprise income tax law, enterprises can make corresponding tax planning from dividend reinvestment, establishment of intermediate holding companies and transfer of business departments. 1. Dividend reinvestment According to the provisions of the current tax law, foreign companies can further expand their investment by reinvesting dividends, and they can get tax rebate benefits for reinvestment. When making investments in the future, foreign investors should fully analyze and forecast their investments. For example, considering the close economic ties between Hong Kong and the mainland of China and the various preferential policies given to Hong Kong by the mainland, foreign investors may consider setting up holding companies in Hong Kong to invest in the mainland. 2. Foreign-funded enterprises with intermediate holding companies should pay attention to the role of tax treaties between China and other countries or regions when investing in China. For example, at present, in China, Hongkong, Ireland, Mauritius, Barbados and other countries and regions, all tax treaties with China stipulate that the withholding tax rate of dividends shall not exceed 5%. When making tax forecast, enterprises should fully consider the problems such as the transfer of capital gains that may occur in future operations, and pay attention to the influence of the corresponding tax laws and regulations of the home country and investment participating countries. 3. Transfer of business departments If a loss-making enterprise wants to divest its core business, the core business is actually a high-tech department of the enterprise. This part is actually value-added, so after the transfer, the tax base of new foreign-funded enterprises should be re-determined according to the transfer price, so that new foreign-funded enterprises can more easily meet the conditions of high-tech enterprises and enjoy the preferential tax rate of 15%. In this process, eligible transfers can also enjoy the care of exemption from business tax. 4. The new Law on Encouraging Venture Capital Enterprises stipulates that venture capital enterprises engaged in venture capital that the state needs to support and encourage can deduct the taxable income according to a certain proportion of the investment amount. The Notice of State Taxation Administration of The People's Republic of China, Ministry of Finance of People's Republic of China (PRC) on Promoting the Development of Tax Policies for Venture Capital Enterprises stipulates that if a venture capital enterprise has invested in unlisted small and medium-sized high-tech enterprises for two years or more by means of equity investment, it can deduct the taxable income of the venture capital enterprise according to 70% of its investment in small and medium-sized high-tech enterprises. If the deductible amount of taxable income calculated by venture capital enterprises in accordance with the regulations meets the deduction conditions and is insufficient in the current year, it can be deducted year by year in subsequent tax years. 5. Make good use of preferential policies. For example, a foreign company has established foreign-funded enterprise A and foreign-funded enterprise B in China. At present, enterprises have accumulated a large amount of surplus, and foreign companies are also preparing to expand their investment in China. According to the current policy, the profits made by foreign investors from investment enterprises are exempt from income tax. The new law does not stipulate this, so it is possible to levy dividend withholding income tax in the future. In view of possible policy changes, combined with the enterprise's investment expansion plan, the enterprise can set up a holding company in Hong Kong, and the holding company can reinvest the dividend obtained from foreign-funded enterprise A in foreign-funded enterprise B, or use the dividend to increase the capital of foreign-funded enterprise A. In this way, the company can transfer the equity of foreign-funded enterprises A and B to the holding company, and at the same time transfer the accumulated surplus of the two enterprises, which can avoid paying dividend withholding income tax when remitting in the future. Secondly, if the profits are reinvested, you can still enjoy the reinvestment tax rebate. 6. Start tax planning ahead of schedule Although the new law will be formally implemented next year, some planning can be started before. For example, for enterprises with higher tax rates, methods of accelerating income and delaying expense recognition can be adopted to reduce tax burden; For enterprises with reduced tax rate, the opposite strategy can be adopted, such as installment sales or consignment sales, delaying the time of revenue recognition and delaying the tax payment after 2008. For example, a multinational company has a productive foreign-invested enterprise in China, which is at the last 1 year of the tax exemption period. In addition, there is an affiliated commercial enterprise with a tax rate of 33%. Productive foreign-invested enterprises currently have a large amount of inventory, and the company can sell the inventory to affiliated commercial enterprises as soon as possible, and realize the income this year and enjoy tax-free preferential treatment; After purchasing products, affiliated commercial enterprises can sell them after next year according to the normal sales plan, and the realized income is taxed at the tax rate of 25%. It is worth noting that the new law stipulates that the costs incurred by enterprises and their related parties in developing and transferring intangible assets or providing and receiving labor services shall be shared according to the principle of independent transaction when calculating taxable income. If an enterprise fails to provide information on business dealings with its affiliated parties, or the information provided is untrue and incomplete, which cannot truly reflect its affiliated business dealings, the tax authorities have the right to verify its taxable income according to law. The tax authorities have the right to make adjustments in a reasonable way when an enterprise implements other arrangements that have no reasonable commercial purpose to reduce its taxable income or income. If it is necessary to pay back the tax, it shall pay back the tax and charge interest according to the regulations of the State Council. Therefore, tax planning should be carried out on a reasonable and legal basis, without violating the provisions of the tax law, and the transaction price must conform to the principle of independent transaction.