A Case Study About National Tax Bureau S Anti-Tax Avoidance Of Transfer Pricing

Multinational corporations play a more and more important role in the stage of economic globalization with economic globalization become a trend of economic development. Under the background of the tax system differences between countries, multinational corporations make tax avoidance arrangement by transfer pricing to maximize the profits and minimize the tax. Tax avoidance by transfer pricing damage national tax benefit and make an unfair distribution that is bad for deepening and advancing reform and opening-up and embarrass building healthy international economic order. Because of transfer pricing system of China is in the process of be improving and China taxation bureau have many problems in policy implementation and anti-tax avoidance of transfer pricing, in order to protect the legitimate rights and interests of tax and security tax revenue, it is very urgent to improve the level of Anti-tax avoidance of transfer pricing.Recognizing association relationship and related transactions, doing comparability analysis, choosing transfer pricing adjustment means are key operating points in the process of Anti-tax avoidance of transfer pricing. In fact, it is very difficult to implement these key operating points smoothly. The paper adopt case analysis method and make Tax Bureau S as object to analyze the all process of transfer pricing investigation and adjustment, explore the difficulties and problems so as to obtain the general measures for the operating difficulties of Anti-tax avoidance of transfer pricing on the base of cases analysis.The promoting measures of anti-tax avoidance of transfer pricing for Tax Bureau can include following points. Detailing transfer pricing means and increasing the degree of punishment. Perfecting tax collection and management can include five measures, first, completing basic information management by diversity investigation methods which include paper document, tax information and electronic document. Second, reinforcing contemporaneous documentation management and detailing contemporaneous documentation. Third, clearing the function matching profit if or not by function and risk analysis. Fourth, building rich comparability information database to make good comparability analysis. Fifth, encouraging taxpayer to adjust by themselves, giving risk tips and maintaining the continuity of measures. Finally, reinforcing coordination of international tax revenue and corporation.