M & A Tax Planning Study

Merger is the main trend of history. George Stigler, an American famous economist and Nobel Prize winner on economics, had ever said: "None of American big companies did not grow up through the annexation of a certain degree, a certain way, and nearly no big company grew up only by interior expansion." Since the behavior of company annexation emerged at the end of the 19th century, the western countries have gone through annexation tides five times up to now. Especially since 1990s, no matter in foreign countries or in our country, the company annexation was more active and more frequent than ever. Even to this day, merger has already become a kind of indispensable fashion in realistic economy life and become the main battle field of the global economy fight. So it has already been urgent for Chinese enterprises to use the means of merger skillfully and to incorporate in the competition of globalization smoothly. Meanwhile, we should see that the reason of enterprise merger tends towards diversification too and there are many kinds of reasons in most mergers. Among them, tax saving is an important reason led to merger. And tax planning is to let taxpayers arrange their system and business activities according to the government's tax policy guidance on the premise of not violating tax law and make the optimal choice scientifically among all kinds of tax schemes on the basis of enterprise's long-term interests so that they can achieve the goal of lightening the burden of their tax finally. Therefore tax planning is an indispensable component in a merger scheme and has an important effect on reaching the expected target in a merger decision. Because of the above reasons, the article researches into merger and tax planning correlated with it and tries to design the tactics of tax planning theoretically and practically in the whole merger course through the establishment of gambling model on tax planning of enterprise merger under asymmetrical information condition so that it can help enterprises to upgrade the idea of paying taxes and contribute to the science and rationalization of enterprise...