Strategy Research Of Tax Planning In Telecom Industry Upon VAT Reform

Since the reform of tax system in 1994,the government started the tax reform and officially launched the VAT pilot in November 2011.Telecom industry was incorporated into the scope of the VAT pilot in June 2014.For telecom enterprises which implement the policy of business tax for a long time,VAT reform is a big challenge.Under the new tax system,workload and difficulty of management of the enterprise will no doubt greatly increase,the increase of tax risk in following.In addition,the tax burden of telecom enterprise has risen in short term.This violates the purpose of the VAT pilot.So this paper wants to help telecom enterprises maximize reduce the tax burden,increase ability of VAT tax planning.and achieve a smooth transition and virtuous development through the researches on theory and practice?Based on the background of VAT reform,this paper compares the tax situation before and after the tax reform through the typical business in telecom enterprise,summarizes the problems existing in current tax planning of telecom enterprise guided by related theories.This paper analyzes the tax planning path and matters needing attention under the new policy respectively from angles of business model,invoice management,accounting and tax policies,and teas out the system of tax planning under the new situation.Finally,taking A city branch of China telecom for example,this paper will give some advices about tax planning through case studies and data computing.In this paper,research has shown that financial accounting,tax burden level,marketing model and development strategy of telecom enterprises will all have a series of dramatic changes because of the VAT reform.But at the same time,the VAT reform also provides some opportunities for the tax planning of telecom enterprise.Telecom enterprise should timely change strategies through the use of the tax policy,the adjustment of the financial accounting regulations and marketing methods,make full use of tax planning space and achieve the falling of tax burden.For telecom enterprises,to launch a new tax planning system under the background of VAT reform is the force of circumstances.It is aneffective impetus to the upgrading of enterprise itself,and is conducive to healthy development of enterprises.