Research On Tax Risk Managemengt Of X Construction Enterprises

As the Chinese economy grows rapidly,the construction industry has gradually become an important pillar industry.However,in recent years,many construction enterprises have become the main targets of audits by the tax authorities due to problems such as evasion of invoices and cost deductions without obtaining legal and valid documents.Therefore,tax risk management issues in the Construction Industry need to be addressed.In addition,due to the long construction cycle of construction projects for construction companies,the relatively scattered layout of engineering projects,the low technical level of practitioners,the many tax-related links,the many types of taxes involved and the complexity,it is extremely easy to generate tax risks during the implementation of projects.Therefore,for a construction business to develop smoothly and healthily,it is necessary to identify,assess and control their tax risks.This article focuses on the tax risks of an engineering and construction company.The paper begins by discussing the concepts of “risk management” and “tax risk management”,followed by a brief introduction to risk management theory and tax compliance theory.The current business situation,organisational structure and tax-related status of Xconstruction enterprises were analysed,and the tax risks of X construction enterprises were identified according to their entire life cycle.Subsequently,the causes of the above risk points were analysed and categorised to obtain the cause categories and the corresponding risk indicators for the causes.The previously summarised risk points and cause categories were then grouped together and a tax risk management evaluation index system was established on this basis.In order to make the evaluation system more scientific and effective,the author prepared a questionnaire and invited some experts and scholars to score it,so as to determine the weight of each risk indicator,and then used the hierarchical analysis method to assign values to each weightfactor,and based on these factors to determine the importance of each risk factor in the enterprise,and finally obtained the risk factors that are important to X construction enterprise.The risk factors that are important to X construction enterprise are finally obtained,and the results of the tax risk management evaluation of X enterprise are then analysed.On this foundation,corresponding improvement measures are proposed to improve the risk management of X construction companies.It is hoped that the discussion of tax risk management of X construction enterprises in this paper can help X construction enterprises to better manage their tax risks and also provide some elements for more construction enterprises to learn from in their tax risk management,thus helping more construction enterprises to reduce their tax losses,promote their long-term development,alleviate the current tax risk management challenges they face and improve them.It will also help more construction enterprises to reduce tax losses,promote their long-term development,to mitigate current tax risk management issues and improve tax risk management and operational control in construction companies.