Research On Tax Issues Of M Company's Merger And Acquisition Of N Company

In recent years,the world economy has undergone a tortuous recovery in deep adjustment.Economic development has entered a new normal,and it has gradually evolved into a stage where the structure is more rational and the division of labor is more optimized.It is an inevitable choice for enterprises to achieve transformation and upgrading,which is to resolve the contradiction of insufficient internal development of enterprises by mergers and acquisitions.However,there are still many companies in the M&A market that are subject to certain restrictions on taxation issues,especially for cultural media companies,which have innovative operating models and unique asset structures.A higher M&A transaction price is generated,which brings a heavier income tax burden to both parties.Therefore,reasonable general recommendations can be provided based on in-depth analysis of the tax burden impact of payment methods on M company's mergers and acquisitions,through the research focuses on M company's M&A cases.As a result,a reference for industrial mergers and acquisitions of emerging enterprises under the wave of "Internet +" can be made better.This article is based on the relevant provisions of the special tax treatment in Caishui [2014] No.109,and analyzes the impact of the payment method on the corporate tax burden in the case of company M mergering company N.Based on the research on M&A payment methods and tax treatment,the article makes a retrospective analysis of company M's M&A cases by using case analysis and comparative analysis.It was found that both parties in the original plan have to take huge financial pressure and heavy tax burden.Therefore,this paper analyzed the difference between the current tax burden and the deferred tax burden of the two parties under different M&A methods,through designing the M&A optimization plan of company M and comparing it with the original plan.Meanwhile,the overall impact of different schemes on the tax burden of the shareholders of the transaction was also compared under the combination of the differences between the tax and the time value of the currency.Based on the results of the comparative analysis,the influencing factors that the enterprise should focus on when selecting the M&A payment method were summarized.Finally,this paper combined the analysis results of mergers and acquisitions of company M,and proposed that enterprises should deepen their understanding on China's mergers and acquisitions restructuring laws and regulations,especially on taxtreatment related policies.Also,the blind pursuit of “tax-free”mergers and acquisitions should be reduced,and the benefits tendency of both parties should be coordinated when mergers and acquisitions plans are formulated;meanwhile,the professional functions of consultants and other suggestions should be given full play to.Based on all the suggestions above,this paper is hoped to provide reference for tax treatment issues in the mergers and acquisitions of listed companies in China.