Tax Planning Analysis Based On Separation Between Tax Law And Accounting System

This dissertation is to provide to tax planners some good solutions on the basis of separation between Tax law and Accounting System. By comparing the structures of Tax law and Accounting System, this dissertation finds the separation comes from the differences in determination, precondition and principle. From 1990's,China's Tax Law and Accounting System have experienced great reform in order to get on with the rapid economic development and what China 's entry into WTO and China's globalization ask for. They tend to be the regular rules, at the same time they changed to be separated while they kept on coincide step in era. Collaboration had done a lot, but it cannot solve all the problems yet.Tax planning is to do optimal tax choice in maximized profit and minimized tax expense after comparing the terms of Tax Law, at the same time not against the law. It's a complicated business project including laws, accounting, organization, management, and trade. This dissertation also investigates the principle, aim and technique of tax planning. These tax planning projects which make the use of separation have been popular and eye-attracted. But these tax planning projects have some disadvantages. For example they may be lack of integration or they do not keep with the goal of the enterprise. The dissertation gives 4 solutions: first, accelerated depreciation, second, methods of pricing inventories, debt restructuring, accounting process. And the limits to each solution are also presented. At last two cases are questioned because they didn't consider the separation properly.In the end the paper sums up the viewpoints and indicates the thoughts of how to make a further research.