Research On Effective Tax Planning Of Enterprise

Tax planning involves many disciplines of knowledge, so many theories are not sophisticated . Early tax planning theory basically belongs to"make tax minimization by arranging operating activities", that is usually referred to"tax minimization". Although the theory is simple and clear,but it does not consider the costs of tax planning, especially the hidden tax burden as well as non-tax costs. The goal of the traditional theory is tax minimization, the goal is defective. In1992, Scholes and Wolfson put forward the concept of effective tax planning in their book"Taxes and business strategy". To a large extent ,the theory makes up for the limitations of early tax planning. But Scholes theory of effective tax planning is based on the tax environment of the United States. It is known that there exist many differences in taxation between China and other countries. Therefore, it is necessary to explore our country effective tax planning of enterprise. In this paper, Authors puts forward effective tax planning connotation under China's tax environment drawing on effective tax planning Scholes theory. I hope this paper can provide some insights on the choice of enterprise's tax planning and the reform of Government's the tax system.In recent years, China's tax system has undergone significant reform and adjustment. For instance, government promulgated the Enterprise Income Tax Law in 2008 and promulgated the Personal Income Tax Law in 2005. At the same time, the Government further strengthen Anti-Tax Avoidance efforts. This article closely contacts our country's specific tax environment. The author puts the effective tax planning as the main line of research, and sets up effective tax planning framework of our country's environment. She puts tax planning as a subsystem of the Enterprise Strategic Management System and puts forward"Enterprise value maximization"as the goal of tax planning. At the same time, It requires enterprise to consider the tax benefits, as well as hidden taxes and non-tax factors When the enterprise tax planning. Finally, the author carries on the Practice Research of enterprise's finance, investment, distribution fields. It is composed of seven chapters.In the first chapter, the paper reviews and comments a great deal of relevant literature documented in journals home and abroad. Then, this article puts forward the research framework and methods. The main innovations of this paper are listed at the end of this chapter.In the second chapter and third chapter, the paper explores the basic theory of effective tax planning. First, the paper discusses the connotation, objectives and specific content of effective tax planning under China's tax environment. Then the paper studies the macroeconomic effects and micro-economic effects of effective tax planning. Finally, the author analyses effective tax planning by game theory. In the fourth, fifth and sixth section, the paper sets up an effective tax planning analytical framework from enterprise's finance, investment, distribution angle. The author engages in analysis of organizational forms, capital structure and the pay plan.The last section is mainly about questionnaire survey's empirical analysis. It has provided further evidence for the effective tax Planning theoretical study.