Research On Tax Planning In Cisco Real Estate Company

As a pillar industry of the national economy, the real estate industry plays animportant role in the country’s economic development. In recent years, the capital in pursuitof profits increases competitive pressures of the industry with China’s soaring housingprices. On the other hand, the soaring prices brought a series of economic and socialproblems, such as the increasing implement of the national macro-control policies,over-changeable changing market environment for the real estate business, the risingdevelopment costs and labor costs related to the real estate development projects, followedby fund shortages for some small companies. As a result, the real estate enterprises facesevere test in land acquisition, fund raising, product structure, and development mode, etc.Therefore, tax planning should be valued under tax law framework, which is significance inreducing costs and getting advanced management levels for real estate companies.Based on the status of the operating characteristics of the real estate business andindustry analysis, the paper analyses the legality, common techniques and feasibility andmotivation of tax planning. Then, there is also financial statement and relevant tax analysisin terms of Cisco’s real estate businesses as the paper’s practical example. Starting from theproposed basic principles in tax, further introductions are in the methods of Cisco’s majortaxes planning, including business tax, income tax for the corporate, and value-added taxand tax planning for other taxes. By vertical analysis method, each stage of tax planning isalso considered from the former building and post operation. This paper studies the taxplanning issues based on Cisco real estate enterprise, and makes effective tax planning inorder to reduce taxes and improve company’s economic efficiency, thereby largely helps anenterprise in enhancing market competitiveness.