tax planning, reasonable tax avoidance scheme → avatar! ?
tax planning is not tax evasion, but legality should be considered when tax planning is carried out.
tax planning is usually legal and compliant, which can be carried out in the following ways:
1. Transfer pricing
The profits of taxpayers with high tax rates are transferred to taxpayers with low tax rates through transactions by taking advantage of the different tax rates in different places of registration (not necessarily in different countries, but also in tax preferential zones).
because transfer pricing is a common planning method, the tax bureau requires enterprises of a certain scale to provide information on transfer pricing for the record.
II. Weakening of capital
Change equity income into creditor's rights income, and increase pre-tax deduction by increasing borrowing (debt financing) and reducing the proportion of share capital (equity financing) to reduce corporate tax burden.
Third, tax incentives
Local tax incentives can also be used
The headquarters economic tax incentives can be used reasonably. At present, many parts of the country are attracting investment through the form of headquarters economic tax policy. Enterprises only need to register their enterprises in the local area, and they can enjoy the financial support from the local government in taxation.
1. Limited company
Limited company's financial support ratio: according to the annual tax amount, the enterprise can get the support reward of value-added tax and enterprise income tax retained by local finance: 75%-85%
Cash time: the support reward can be cashed in the next month after tax payment.
settlement form: according to the actual situation and the requirements of the tax area, you can set up a branch, a new company, or relocate your registered place.
2. The sole proprietorship enterprise
Advantages of the sole proprietorship enterprise
The invoice is true, the funds are safe, and the risk is low
After applying for "approved collection", the overall tax burden is reduced
After paying taxes, the sole proprietorship enterprise can directly turn over the private sector
There is no enterprise income tax, and the individual income tax can be paid according to the income from individual production and operation
Generally, the sole proprietorship enterprise can use the business diversion method. After paying taxes, you can freely withdraw cash and distribute it freely. The comprehensive tax rate approved by sole proprietorship enterprises is as low as 1.54%.
iv. tax agreement
refers to a written agreement concluded by two or more sovereign countries through negotiation in order to coordinate their tax jurisdiction and deal with relevant tax issues. Countries that sign tax treaties with each other usually include parts such as avoiding double taxation and tax concessions. Compared with countries that have not signed tax treaties, signing tax treaties can effectively reduce double taxation and reduce corporate tax burden.
V. Mixed Mismatch
For mixed financial instruments, it is most common that they are regarded as creditor's rights in one country and equity in another. This qualitative difference usually leads to the payment under this financial instrument, which is regarded as pre-tax deduction of interest in the country where the payer is located, but is regarded as dividend in the country where the payee is located.
generally, the same expense is deducted several times (double deduction), or the same payment is deducted as expense in one country (region) while income is not counted in another country (region) (one party deducts and the other party does not count income).
VI. Controlled foreign companies
Set up controlled foreign companies in countries with low tax rates or tax havens, and through various commercial arrangements, keep profits in foreign companies without distribution or a small amount of distribution, so as to avoid paying taxes at home.
VII. Royalty
refers to any money paid by people for using rights or intangible property such as information and services. Such as: income obtained by individuals from providing the right to use patents, trademarks, copyrights, non-patented technologies and other franchises. Because the pricing of royalties is difficult, it provides space for enterprises to transfer profits.
good tax planning, these elements are very important!
Now, more and more small and medium-sized enterprises are inclined to do tax planning, which can not only reduce the tax pressure for enterprises, but also improve their economic activity ability to some extent. The tax point reminds us that some aspects need special attention when making a real tax planning plan.
The fundamental foothold of tax planning: being reasonable, legal and compliant. Never underestimate these six characters. If you don't follow this fundamental foothold, it is tax evasion! It's illegal.
a stable, safe and trustworthy tax planning must be in line with national laws and regulations, and it is also a legal act that taxpayers are allowed to do to improve their economic activities within the scope of law.
key points to keep in mind in tax planning: Do not drill the blank space of tax law. Undeniably, some companies are good at drilling the blank space or some loopholes in China's tax law.
For example, like the hot event in the film and television entertainment industry this year, Fan Bingbing and its related companies ostensibly used Horgos, a tax haven allowed by the national tax policy, to register film and television companies or personal culture studios, but secretly engaged in illegal things. The "Yin-Yang Contract" is a clear case of exploiting the blank of the tax law.
Therefore, a genuine tax planning will never touch the sensitive area of tax law.