| Summary: | 碩士 === 國立東華大學 === 企業管理學系 === 90 === The Study of Business Tax Minimization Strategy
National Dong Hwa University
Dr. Ken Hung
Jin Shing Chen
There are two ways to maximize the profit of a business. One is to increase revenue, it means having a marketing strategy to increase sales revenue, The other one is to cut cost.
Tax is an expenditure of a business. Although some accounting scholar deem tax as a liability, After integration with the individual income tax, the profit seeking enterprise can transfer income tax to the stockholder. Business has more cash to use, after tax minimization Therefore tax minimization strategy can reduce tax burden and increase the profit of a business.
Taxation is a source for government expenditure, and taxation can be a tool to achieve goals of government. Taxation also means transferring the part of property of people to the government by enforcement. According to article 19 of Constitution, people have to follow the law to pay tax. Although it is an obligation by the people to pay tax, but people have the right to minimize his tax burden. When a business pays the tax, it means cash outflow , and actually influence the rate of return, and reducing the capability of competition. The purpose of business strategy management is maximizing the profit of a business. In this situation, business should minimize its expenses. Tax is an unavoidable expenditure. Therefore, tax minimization strategy is very important to a business owner.
There are many factors to be considered when a business makes strategy. The factors include taxation and non-taxation. In this study we just consider taxation factors.
Non-taxation factors will not be included.
In this study we identified business related taxes, and we developed some strategies for minimizing the tax of the business.
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