LQ Company Tax Risk And Prevention Research

Recently China has witnessed the booming of small and medium-sized enterprises, and small and medium-sized enterprises play an important role in economic growth, increasing employment and social stability. However, small and medium-sized enterprises are struggling in the real economic environment and face many risks, and tax risk is the most important one. In recent years, many small and medium-sized enterprises fall into bankruptcy due to tax risks. In the face of fierce market competition and tax risks, it is necessary to study the prevention of tax risks, and it is of great significance to the survival and development of small and medium-sized enterprises, economic security and social stability. Therefore, improving tax risks prevention ability should be given priority in the consideration of reducing the tax risks of small and medium-sized enterprises.This paper chooses LQ company in Daqing of Heilongjiang province as an example, and studies he tax risk and its prevention. This thesis defines the concept of small and medium-sized enterprises and tax risk, classification and characteristics of small and medium-sized enterprises. On the basis of the principle of tax risk prevention, the internal control theory is introduced, and the relationship between internal control and risk prevention is analyzed based on the theory of internal control, which is the theoretical basis for the case analysis.Combined with the Chinese Accounting Standards and Taxation Laws, the status and causes of tax risks in LQ Co. is studied using the method of case analysis and field research. This thesis emphatically studies four aspects, including prevention consciousness, management system, tax policies and tax administration, then puts forward the specific strategies of LQ Co.' tax risk prevention in the perspective of internal control's five elements from the optimization control environment, establish the tax risk assessment mechanism, strengthen tax risk control activities, and improve the mechanism of tax risk information and communication.This paper argues the tax risk is one of the main risks in business activities, it is a kind of uncertainty or possibility of loss, and tax risk prevention is closely related to the enterprise internal control, aims to improve the LQ Co. internal control system and effectively guard against the tax risk to help small and medium-sized enterprises in the same predicament prevent tax risk effectively and reduce the tax risk,and support the development of the process of long-term development.