Study On The Influence And Countermeasure Of Replacing Business Tax With Company S

Tax policy changes from business tax to value-added tax on May 1,2016.Since then,sales tax disappears from historical stage.As is known to all,the principle of the value-added tax and business tax are completely different,as value-added tax belongs to the VAT tax excluded in price,thus can avoid repeated tax.After the changes,the input and output of VAT deduction continued between upstream and downstream companies.Construction industry have many different projects in various area,with complicated environment,it also have low profit and very sensitive on changes of financial indicators.So there is serious effect on finance management of construction industry.The changes have started for more than one year,so there is theoretical and practical value to study the details of effect and how to deal with it.This study firstly checked and collected many aboard and domestic documents,made statement on theories of sales tax & business tax;and then analysis the related studies on this issue;the principle of this tax policy changes;the Specificity of tax on construction company;the necessity and feasibility of this change.And also take S company as an example,to analysis the main effect of this change from the aspects of operating management,financial accounting & indicator;taxpaying management,which shown the big effect to S company.Finally indicate how S company deal with this change,such as make improvement on management;reduce organization levels;encourage project contracting;improve contracting and supplier standard;enhance management on finance depart,upgrade accounting ability;strengthen capital and invoice management;make proper tax planning;using centralized taxpayer system;reducing taxing risk.This study can direct S company to smoothly adapt to this change and developing better and better.