Research On The Legal Issues Of Tax Planning And Anti-tax Settlement

It is undoubted that taxpayers are legally responsible for tax planning to use taxation differences and tax incentives to obtain tax benefits through prior arrangements of transactions.In practice,taxpayers,driven by huge profits,can easily leap over the legal boundaries of tax planning,and evolve behaviors that require the use of tax planning rights to avoid taxation,which requires state tax authorities to regulate.There is a certain boundary between tax planning and anti-avoidance.The restricted area of tax planning is the scope of the exercise of anti-tax avoidance power.However,tax authorities do not have the right to intervene as long as the tax planning activities do not exceed the legal scope.When taxpayers misuse tax planning rights and wander in “gray areas”,the benchmarks for discretion of the tax authorities are not clear,which easily leads to discretionary inaccuracies,impairs the interests of taxpayers,and triggers a conflict between tax planning and anti-tax avoidance.Build a harmonious tax collection relationship.Based on well-known tax cases both at home and abroad,this article analyzes the differences and analyzes the causes of the conflict between tax planning and anti-tax avoidance through comparative analysis,and proposes a solution to the legalization approach.In addition to the introduction,this article is divided into five parts,are as follows:The first part Examples analysis of the conflict between tax planning and anti-tax avoidance.This section puts forward the subject of conflicts between tax planning and anti-tax avoidance by reviewing typical chinese and foreign cases.The four cases selected are all non-resident companies' indirect shareholding rights transfer disputes.They have both the Indian vodafone tax case from abroad and the taxation cases at different stages in China.After a comparative analysis of the above cases,it was found that in practice China's tax authorities dealt with cases of non-resident enterprises' indirect equity transfer tax avoidance,there were significant differences between the identified standards and assessment factors and foreign countries,and there were also some unavoidable defects.Insufficient,in turn,affect the state and taxpayers to varying degrees.The second part Tax planning and interpretation of the basic issues of anti-avoidance.This section explains the basic theoretical issues of tax planning and anti-tax avoidance.First,define the definition of tax planning.At present,the definitions of tax planning in the theoretical and practical circles are still controversial,but there are basically consensuses on the characteristics of its priorness,legitimacy,and purpose.Second,explore the internal incentives for tax planning.As a trading arrangement,tax planning has its own internal motivations.Under the “economic man” hypothesis,every taxpayer tends to be profit-prone;the combination of the unpaid nature of taxation and the non-advantageous nature of public services drives taxpayers' preference to enjoy public services while paying less tax;differences in tax law systems It provides space for taxpayers to plan;professional tax agencies help push forward the development of tax planning;in the wave of public law private law,the principle of autonomy of private law gives taxpayers freedom of movement.Finally,the concept,nature,inevitability and method of anti-tax avoidance are analyzed from the perspective of tax avoidance.This article believes that anti-avoidance is the general term for regulatory measures taken to use legal loopholes to evade tax liabilities.Tax avoidance is a form of lawful violation of the law.Anti-avoidance is legal and reasonable.It should be regulated through general anti-avoidance provisions and special anti-avoidance provisions.The third part Tax planning and anti-tax avoidance.This part clarifies the border between tax planning and anti-tax avoidance from the perspective of statutory principles of taxation,substantive taxation principles and principles of good faith.Under the statutory principle of taxation,the taxpayer conducts tax planning in accordance with the law,and the state tax authority shall enforce anti-tax avoidance law on the abuse of tax planning rights within the scope of the jurisdiction as prescribed by law.The “law” is the boundary between the two.The principle of substantive taxation is the core principle of the construction of China's anti-tax avoidance system.According to the principle of substantive taxation,if the taxpayer's transaction arrangement does not have a reasonable commercial purpose to obtain tax benefits as the main or sole purpose,the tax authority has the power to make adjustments,denies its trading arrangements,and conducts taxation in accordance with the economic nature.The essence is the boundary between the two.The principle of good faith is the result of the private legalization of public law.It requires the taxpayer to plan in good faith and abide by the tax contract relationship.At the same time,the tax authorities have the duty to safeguard the taxpayers' reasonable interest,and “honesty” is the boundary between the two.The fourth part Exploring the reasons of conflict between tax planning and anti-tax avoidance.This section through the previous theory and case analysis,found that there are many problems in China's tax practice.First,the tax law system is not perfect.There is no basic tax law in our country,and there is a lack of uniformity in the tax legislation system.There is a clear tendency in the legislative administration in the taxation field,and the protection of taxpayer rights is insufficient.Second,tax law enforcement has broad discretion.The ambiguity of general anti-tax avoidance clauses leads to excessive discretion of tax authorities.The power structure of “taxation-anti-tax avoidance” can guarantee high efficiency against tax avoidance,but it is easy to infringe taxpayers' rights and interests.Finally,the taxpayer's right to relief channels is not smooth,and the function of taxation and justice cannot be effectively used.The fifth part Tax planning and anti-avoidance conflict resolution recommendations.This section combines the above relevant cases to propose solutions to existing problems.First of all,China should establish a sound taxation legal system,set up a basic taxation law as soon as possible,raise the level of taxation legislation,and establish the constitutional principle of the principle of statutory taxation.Secondly,we should establish a benchmark for tax law enforcement discretion,raise the awareness of tax authorities for taxation in accordance with the law,establish a benchmark for tax law enforcement discretion,set up a special anti-tax avoidance law enforcement agency,and further clarify the criteria for reasonable commercial purposes.Third,establish a smooth channel of rights relief,set up a taxation court across administrative regions,and conduct extensive tax cooperation.Finally,some suggestions have been put forward from other aspects,such as exploring the establishment of a legal advisory system for tax authorities,establishing a database of commodity prices,and strengthening exchanges and cooperation in the anti-tax avoidance field.