Research On Tax Planning For K Hotel

Tax planning is broadly defined as financial decision-making in the presence of taxes for tax optimization. This goal could be achieved by rational arrangement of tax activities of corporation under the guides of tax policies without being against laws and regulations. Along with the stepwise development of tax system, tax planning has been the first option of tax saving and one section of financial management which should not be sneezed at. For both small and medium-sized businesses and large-size enterprises, tax planning has become the important approach of lowering operational cost and improving competitive power.Based on the exposition of the connotation of tax planning, this paper first analyses the feasibility and significance of tax planning, introduces the basic principle and ideas, and investigates the risk and risk control of it. Under the management environment, expansion program and other circumstances of K Hotel, by integrating theory and practice, through adopting the qualitative and quantitative analysis methods, this paper then discusses the tax planning issues on marketing, merging, profit distribution, splitting, entertainment industry, donation and financing for K Hotel, in order to improve the economic performance of K Hotel as well as its competitive power by reasonable tax planning. This paper could be also used for reference in legal tax saving and performance improvement for other entities with similar circumstances. In the final part, combined the consideration of the reform of tax system in China, this paper discusses some ideas and experience that could be useful for the practice of tax planning.