The Research On Tax Planning Of LED Enterprise Mergers And Acquisitions

With the development of market economy,merger and acquisitions have become an important measure in companies' growth and development.M&A could not only help companies realize their straptegic objectives,but also optimize the configuration of resources and enhance the prosperity and development of the country.Nevertheless,during the process of restructuring deal,there exists much tax liability,among which income tax takes up a large proportion,thus bringing a significant burden to company.Therefore,corporate income tax,which is an important factor affecting M&A,is worth further researching.The typical case of M&A in the LED industry is chosen in this paper.Take the subsidiary of Shanghai state as an example,theoretical research and case analysis are used to analysis and plan the corporate income tax projects in company,aimed at instructing LED company to do tax planning appropriately in the M&A process and using existing preferential tax policies better to find a “win-win” balance.And the special tax treatment is different from the general tax treatment,does not mean special tax treatments is the best optimal,enterprises should respect the interests of parties,each of the M&A in the acquisition process,seeking to maximize the benefits,choose the suitable tax treatment.Since the typicality of this case,of which the situations would be involved in M&A of related companies,this paper has the generality of theory and gets the generally applicable basic conclusions.Wish this study would help the corporate income tax planning in M&A of companies.