Tax Planning, Corporate Marketing Activities

Tax planning refers to the reasonable and well-designed plan that the taxpayer makes for his own financing, investment and operation, within the limits permitted by the existing taxation system, to gain as many benefits as possible in tax saving and fulfill the goal of profit-maximizing. Tax planning is widely known in foreign countries, especially in the developed western countries, but it is still in starting stage in China. With the setting-up and improvement of socialist market economy and China's entry into WTO, tax planning, one of the important means that taxpayers lower cost and enhance competitiveness, will certainly develop faster than ever before.From the perspective of business marketing, this paper probes into some tax problems associated with links in the process of business marketing. In real economic life, many enterprises in China overlook the organic combination of business marketing and tax planning, which makes enterprises pay more tax in business marketing and add to the enterprises' tax burden. Therefore, attention should be paid to tax planning in business marketing so as to reduce the marketing cost and lighten the tax burden.This paper consists of five chapters:Chapter One: the necessity and practical significance of tax planning for business marketing. Starting with the notion and characteristics of tax planning, this chapter analyzes the room of tax planning for business marketing. It also illustrates the necessity and practical significance of carrying out tax planning in business marketing in China. With the exposition of this chapter, it aims at shedding light on the clear idea of tax planning and on the main subject matter of this paper.Chapter Two: the tax planning in the process of business sales. This chapter is the key part of the whole dissertation. The author's original intention to write this chapter is to combine organically the theories of tax planning and the practical links in the process of business sales so as toprovide business marketing with some ideas and methods. There are four sections in this chapter. Each section analyses the corresponding taxation rules and the theories of tax planning by analyzing cases, trying to make the ways of planning as workable as possible. First, the author expounds on some problems which need to be consider in business sales when planning tax---successfully planning the role-choosing of taxpayer. Second, the author discusses the tax planning when setting up sales branches, i.e. how to set up and operate the branches scientifically and reasonably. The third section of this chapter exposits the tax planning in choosing the ways of sales. There are lots of ways of sales for different corporations and adopting different ways of sales may result in different operating effects. The last section focuses on the analysis of tax planning in several special sales behaviors, which shares more practical significance.Chapter Three: tax planning in financial management of business marketing. This chapter expounds on another important link of marketing: tax planning about financial management. The Taxation Law of China prescribes specific rules about all kinds of financial expenditures occurred in meeting, traveling, reception, advertising, business propaganda, shipping, salaries and wages and so on. In many corporations, items of tax reduction before tax often go beyond the standard and no tax reduction can happen before corporation tax. This increases the tax burden of the corporations. Personal income tax also increases the tax burden of individuals because of improper payment. It is a very important task for most corporations to avoid above-mentioned phenomena through tax planning. This chapter puts forward some ideas that are helpful for practical operations in corporations.Chapter Four: tax planning in international marketing. This chapter is a supplement of last two chapters. It aims at emphasizing the urgency of tax planning of enterprises. Tax planning is mature and widespread in multinational corporations. If our cor...