Research On Tax Risk Management Of Outlets Based On COSO Framework

The corporate tax risk is the uncertainty about the loss of economic interests caused by tax related behavior.In october 2004,the COSO commission issued ?Enterprise Risk Management — integrated framework?and proposed a full risk management framework.Tax risk management has formally entered academia.Then,on may 5,2009,State Administration of Taxation issued the first guidelines for corporate tax risk management.This document promotes theoretical and practical research on tax risk management.The tax risk management is based on the principle of cost-effectiveness,by building tax risk assessments and control mechanisms,companies try their best to reduce tangible or intangible losses.As the economy becomes increasingly complex,the tax environment is changing and the tax risk issues are growing.So far,some of the most prominent retail companies have fallen into the trap of tax risk.Retail companies face a serious tax risk problem due to their own complexity and the complexity of tax conditions.Outlets is an extremely representative shopping centre in retail companies,which offers retail business and services.It runs a major feature of most retail companies,so this article chooses Outlets to study the case.From the position of a typical retail company,this article is trying to establish tax risk management systems to reduce tax risk for this kind of companies.At first,this article classified and organized relevant articles about tax risk and tax risk management,to understand the causes of tax risk,and the basic approach to tax risk management.This article combed the development process of COSO's internal control theory and COSO's risk management theory,and analyzed the link between tax risk management and internal control.After this,this article takes a retail company called Outlets as the subject,and investigated the tax risk management conditions of this company.This article also used risk identification and evaluation methods to make a brief analysis of the situation.Under the support of the previous theory,this article finally designed and constructed a tax risk management system based on COSO's framework.Specific measures include tax risk control environment,tax risk assessment and control,tax risk control activities,tax risk communication system and tax risk monitoring activities.Hopefully,the system will be helpful for the company's operations through the management of tax risk.