Research On Income Tax Evasion Of Enterprises With Double-Control Subjects

The separation of ownership and management of modern enterprises, make the enterprises form two control subjects, namely owner and operator. Thus, the decision-making subjects of enterprises to be the dual decision-making subjects. However, according to the dual decision-making subject, our Tax Law hasn't made any adjustment. When a enterprise evades tax, penalties is just against enterprise (the owner), but not the operator. If the owner is also the operator, the Tax Law provides highly effective in curbing tax evasion. However, when enterprise has two control subjects, namely enterprise exists internal Principal-Agent relationship, the effectiveness of the Law is restricted in some extent, because the operator were involved in tax evasion activities but without the corresponding punishment.Firstly, this thesis analyzes the tax evasion status of our country, the causes of tax evasion and economic impacts of tax evasion. Secondly, this thesis focuses on the tax evasion mechanism of enterprises with double-control subjects. Because whether the owner attempt to evade tax and whether the operator is responsible for the tax evasion will both make effects on the mechanism of tax evasion, so this part analyzes each instance respectively and educes some outcomes. On this basis of mechanism analysis, this thesis establishes a principal-agent tax evasion model to analyze the optimal decision of tax evasion, and the impact factors of the optimal decision. In addition, this thesis analyzes the impact of time value on the tax evasion decision of the enterprises with double-control subjects. Through contrast analysis of the principal-agent tax evasion model without time value and the principal-agent tax evasion model with time value, this part educes some corresponding conclusions. Based on the theoretical analysis and the actual situation of China, this thesis puts forward some policy recommendations towards tax evasion fathering of enterprises with double-control subjects.