Study On The Small And Medium-sized Enterprise Tax Planning Based On The Life Cycle Theory

Since the reform and opening up, as China’s market economy main body the small and medium-sized enterprises have substantial progress, become the core power to develop our national economy, also maintain the solid strength of social development, and promoted the upgrading and enhance the core competitiveness of enterprises technology innovation and industrial structure. Focus on supporting the development of small and medium-sized enterprises to resolve their difficulty in financing, marketing and other aspects, is a strategic task of China’s.However, since 2012, due to inflation and other factors, the cost of materials and labor rose quickly. At the same time, more and more enterprises invest in stocks, real estate and other virtual economy, which makes our country small and medium-sized enterprise survival environment worsening, even more than the financial crisis of 2008. Along with our country tax law and tax collection and management mechanism continuously perfect, SMEs’ risk and cost of tax evasion will increase day by day. If they want to maximize the interests and minimize the tax cost, tax planning is one of the topics they are bound to be considered.Therefore, this paper though the definition of small and medium-sized enterprises, tax planning and life cycle and other relevant concepts, using SPSS software to analyze the listing enterprises’ financial data, then reveal the situation of their tax planning stage and strengthen the motive or tax planning. From the angle of enterprise life cycle, this paper introduce the tax risk and characteristics of each period, and put forward that the enterprise can refer to the tax planning. On the basis of the above analysis, this paper takes M company as an example, and provides detailed tax planning examples in different stages, in order to help small and medium enterprises.