Research On The Overseas M&A Architecture Design Of Chinese Perspective

In recent years,China's economic strength has been continuously increasing,and Chinese companies' ability to “go global” investments has also gradually increased.As a result,a large number of global capital and resource allocation needs have also emerged.At present,one form of overseas investment cannot be ignored.It is overseas mergers and acquisitions.In recent years,the overseas acquisitions boom of Chinese companies have been heating up.It has also reflected the transitional changes in China's current economic development from supernormal to new normal development.However,along with the increase in cross-border mergers and acquisitions by Chinese companies,overseas mergers and acquisitions provide opportunities for companies to “go global” and are accompanied by many risks.Whether Chinese companies can grasp the opportunities and accurately Identifying and controlling tax risks in mergers and acquisitions has become the key to the successful completion of mergers and acquisitions.Among these,how to build a tax structure that meets the objectives of mergers and acquisitions in mergers and acquisitions,and that can both reasonably control the overall tax burden of the group and increase the efficiency of the use of funds is a key step in controlling tax risks.Based on the domestic and foreign tax environment that Chinese companies are currently facing,this article focuses on the issue of setting up the tax structure for overseas M&A transactions.Through the scientific establishment of the holding structure,the rational design of the financing entity and the effective use of interest costs,etc.,the overall tax burden on overseas M&As will be reduced.For this reason,the author starts with relevant theories and basic methods involved in Chinese companies' overseas M&A,combines the current domestic income tax requirements,elaborates the tax implications that the transaction framework design face,and makes possible tax risks.The first hint.Secondly,the author selected a case of X-group mergers and acquisitions,a typical tax planning case for overseas acquisitions by Chinese companies,and analyzed the tax-saving benefits andrisk points under the different M&A architecture design scenarios of the case.Finally,based on the analysis of the case,the author put forward his own rationalization suggestions and risk tips for the structure design of Chinese companies' overseas M&A transactions.Finally,based on the analysis of the case,the author,in view of the structural design of Chinese enterprises' overseas mergers and acquisitions,puts forward their own rationalization proposals and risk tips from the tax point of view.In the design of the controlling structure,the key to the construction of the structure lies in the consideration of the overseas profit remittance and the choice of the business strategy of the group,and the establishment of the intermediate holding company by the international tax agreement network.However,it is necessary to pay attention to the residents' qualification cognizance,the limitation of overseas income and the tax law of controlling the risks of foreign enterprises.In the aspect of financing structure design,the main tax planning method is to make use of the advantages of the intermediate holding company to finance the creditor's rights,but on this basis,we should pay attention to the regulation of the weakening of the national capital and strengthen the commercial substance of the intermediate holding company to avoid the review of the abuse of tax agreement.