Research On The Differences & Coordination Of Tax And Accounting For Small Business

With the development of market economy deeply,the number of small business in our country is constantly increasing.It plays an important role in the development of the national economy.The operation of small business is an important foundation for maintaining the steady development of the country's economy.It is related to the important strategic tasks of the livelihood of the people and social stability.In recent years,Premier Li Keqiang has been devoting himself to promoting the entrepreneurship and development of innovative small and micro business.He also proposed the initiative of Public Entrepreneurship and Innovation.As small business become the growing rapidly market players,which will be good for the employment situation and the influence of social stability in our Country.In order to regulate the accounting of small business better,the Ministry of Finance issued the Small Business Accounting Standards by the end of 2011,which was put into effect on January 1,2013.It standardizes the accounting behavior of small businesses further,and improve the quality of accounting information.It has a very positive role in promoting the level of financial management for small businesses.The new guidelines simplify small business accounting and eliminate most of the differences between tax law and accounting.However,there are still some problems in the implementation process due to various reasons,especially the difference between tax law and accounting.The difference between the two is too large,which will affect the quality of accounting information and reduce the efficiency of tax collection and administration.How to coordinate the differencesbetween the two has become an important issue to be solved urgently.At present,the study of Small Business Accounting Standards in our country mainly focuses on the characteristics,advantages and disadvantages of the guidelines,lack of in-depth research on the tax law and accounting differences,and limited ability of small business to deal with the differences in tax revenue.Under this background,this paper takes the difference between Tax and accounting of H small Business as an example,and combines relevant theories and practice of taxation work to analyze and study in a targeted manner.This article focuses on five aspects of Assets,Liabilities,Owners' rights and Interests,Income and Cost.According to the characteristics of small business,they analyzed the differences and coordination common measures to small-scale business as much as possible,and explored in depth the reasons for the formation of tax laws and accounting differences in small business and the necessity of coordination.According to the economic characteristics of small business,it proposed corporate financial accounting and tax planning,which will further reduce the financial accounting burden of small businesses and reduce follow-up tax adjustments,thereby reducing the tax risk of small businesses.Finally,revision and adjust China's future tax policies and small business accounting standards,Put forward the rationalization proposal,and explore specific suggestions that are suitable for the coordination of taxation and accounting differences in China from two aspects of system and business.