International Management’ Reasonable Tax Avoidance Of Company A

With the rapidly accelerating pace of reform and opening up and the strengthening ofglobal economic integration, a large number of multinational companies want to step intoChina in order to expand the international market share. Chinese enterprises have graduallyrealized that they need to join the international competition which is becoming increasinglyintense so that they can demonstrate themselves in the international market. More and moredomestic enterprises begin to realize the importance of tax avoidance when they are doinginternational business. We must research the tax avoidance for international trade as it canprovide a reasonable tax avoidance method for our domestic firms. Tax avoidance canreduce the taxburden, that is to say, the firms’profits are increasing.The paper adopts the case studies. Firstly, make a description of the concept of taxavoidance and the strategies. Secondly, the paper described the elementary information ofthe company, its parent company and the tax laws of China and India. They are thebackground of the paper. In the end, the writer analyses the tax avoidance and transferpricing of the company A. The paper is related to some charts, sheets and data which isfrom the company’s audit report and other business information in order to have a betterunderstanding. Through such efforts, there are some questions which company A meets. Itneeds to analyze and conclude for other domestic companies who want to enterinternational business. There are some suggestions which can be referred to in the end ofthe paper. Hope that this paper can provide something necessary for other business firmswhen they decide to manage abroad.