Research On Tax Risk Management In Retail Enterprises

During the recent 40-year process of reform and opening,the development in the scale and speed of retail enterprises is obvious to all.However,many problems have also been exposed in the auditing work of tax authorities.Statistically,461 companies,such as Guomei,Dazhong,Suning and other large Chinese retailers,have encountered taxation risks,triggering off huge losses to them.Therefore,retail enterprises must pay attention to the tax risk management of the enterprise and take preventive measures.The supermarket retail enterprise M is a medium-sized private enterprise in province S,whose main business model is chain supermarket department store retail.In recent years,M has been expanding continuously and the number of its branches has increased a lot.But one of the negative results is that M supermarket retail companies are faced with various task risks now.In this article,M is selected as a typical retail enterprise to give a systematic research on tax risk management.And the research can aid M to reduce tax risks and prevent the occurrence of crises,which is helpful for their further and long-term development.In addition,the content of this article also offers references for the relative systems about how to reduce tax risks.This article firstly points out the basic theories of retail enterprise tax risk management,and then makes the basic link and key aspects of tax risk identification according to the actual situation of the M supermarket retail company.Through the identification of tax risks in the basic areas,we found that M supermarkets are involved with the following basic risks: The company did not set up a separated tax department,and the staff lack responsible sense or professional competence for tax matters.In addition,the company's tax information system is relatively out of date,without targeted internal audit,and the company's tax return procedures as well as tax registration procedures are also inadequate.Then,through the identification of the tax risk of M supermarkets,we also found that: M supermarkets also have varying degrees of risks in the course of their operations,such as purchase contract terms,supplier selection,agricultural product purchase invoices,VAT output tax amounts,sales tax,sales of stored-value cards,sales revenue of bulk goods,sales and sales accounting,inventory destruction,commodity allocation,and renovation and expansion of enterprises.After identifying the specific tax risk points of the M supermarket,a comprehensive and detailed tax risk assessment is showed.Through the evaluation of the value-added tax,corporate income tax,and overall business operations of the M supermarket,problems in the four major rates of change in income,cost,fees and profits are discovered.At the same time,the value-added tax of enterprises and the taxation rate of corporate income tax are also abnormal.They all prove that the risk points identified in M supermarkets previously really exist.Finally,according to the specific content of the “Guidelines for Tax Risk Management of Large Enterprises(Trial)” released by the State Administration of Taxation in 2009,the paper formulated the relationship between the M supermarket tax risk management system and the framework of the tax risk management system.