Research On Tax Evasion Of Foreign-funded Enterprises And Suggestions In China

Tax evasion and tax avoidance are two kinds of measures that are usually taken by Tax-payers to reduce their tax burden.Foreign direct investment by multinational companies can contribute significantly to our country's economic growth and development, however, tax evasion and tax avoidance have sprung up, tax evasion and tax avoidance has become the focus of the whole society. In order to help the revenue authority to deal properly with the problem of tax evasion and tax avoidance, strengthen the positive effect of foreign direct investment, this paper takes a systematic analysis of the status,reason and its impact on economic theoretically and practically.It has a positive practical significance of high-quality management and utilization of foreign capital. It analyzs the scale factors of tax evasion of China's foreign-funded enterprises,some relevant factors should be taken into consideration in the prevention of the scale of the expansion of tax evasion.On the analytical basis of documents and theroy,This thesis explaned evading tax current situation and causesof our country foreign-funded,and then submitted pertinent countermeasure suggestion.First of all, the introduction part has set forth thesis go into background , purpose and method, main the point being innovative and difficult point, the relevance rationale is in progress instruction for evading tax analysis.The secondary , the main body of this study on foreign-funded enterprise evading the tax current situation has carried out analysis. And the article passes the percentage of loss-incurring enterprises to foreign-funded enterprise,inner/foreign-funded enterprise gaining a profit of is parallel and inner/foreign-funded enterprise economic effect comparison brings forward that there existed tax escape in foreign-funded enterprise, the demonstration there existing nature in tax's by the fact that 111 Wu Xi City foreign-funded enterprises data carries out escape analyses.It proved that foreign-funded enterprise evading tax's has been real, and analysed which kind of characteristic of enterprise would incline to choice evading tax.Thirdly, this study took multinational corporation general interests and invading and occupying China side benefit in joint investment into consideratio.Foreign-funded enterprise can evade by transferring pricing and tax haven.It analysd external factors on tax too,The article analysed the reasons of evading tax by the case of dodging a tax and evading tax of foreign-funded enterprise.At last, we put forward more comprehensive basic ideas to handle tax evasion and avoidance. In this paper, from the aspects of tax act legislation and management measures, we make some recommendations to avoid the act of China's control of foreign-funded enterprises.The findings of this study on foreign-funded enterprises in China should benefit other countries interested in avoiding tax evasion and tax avoidance, especially developing countries.