Enterprise Tax Planning Model And Application In Commercial Enterprise

The tax collection is the implementation guaranteed by the nationalcompelling force, the net profit can only attribute to the owner of aenterprise when certain amount of tax have been paid. Once the governmentincrease tax ratio, the owner of the enterprise can get less. As the taxpayer and collector, a contradiction always exists between the enterpriseand government that is the enterprise hopes to pay taxes as less aspossible, while the governor’s wish is definitely the other way round.Therefore, the enterprise has to apply for tax planning and tax avoidancein order to achieve its target.This article utilizes the case analysis method. It starts from thepractice of tax avoidance, expatiates and analyzes the basic theory anddevelopment of tax planning, and then summarizes current popular taxavoidance methods; finally, based on the summary, a tax planning modelas well as related analytical method is concluded.Totally, this essay includes six parts, they are:Part1: IntroductionIn this part, the author explains the reason why we choose this subject,the objective, method and thinking of research, and the structure of thisessay as well;Part2: Literature review and basic theory analysisIn this part, first above all, the author reviews current researchingsituation of tax planning, and then expatiate the theory of tax planningfrom several aspects such as essence, motivation, durative, principle…etc., on the basis of the analysis of tax planning theory;Part3: the appraisement of existing tax planning method and optimizedmodelIn this part, the author sorts, summarizes and appraises the existingtax planning methods, based on that; he raises a new model and the relatedanalytical measure. This model covers three dimensionalities, they are： the entire organizational system of an enterprise；the whole lifecycleof an enterprise；and the full operational process of an enterprise. Thestart of this model is the operational process and business itself of theenterprise instead of the angels of accountant or tax officer; thus it’smore comprehensive than the other similar models and can be carried oneasily.Part4: Study on the application of this tax planning model in amedium-sized commercial enterpriseIn this part, the author takes a medium-sized commercial enterprise forexample; illustrates the application of the said model in details. Bydoing this, the author demonstrates the facility and practicability ofhis model, and finally proves this model is generally and universallyapplicable to enterprises.Part5：How the tax plan affects the sustainable development of theenterpriseIn this part, the author analyzes the relation and mutual effects amongtax planning, enterprise strategy, management model, business field andthe other related key decisions.Part6: conclusions and suggestionsIn this assay, most of the cases and examples are related to medium sizeCommercial enterprise. In the near future, more attentions will be paidon how to apply this tax plan model to group companies, producing company,and learning institutions.