Study On Taxation Of Greenland Group Backdoor Listing

At present,the state-owned enterprise reform has opened a new chapter.The main direction of reform is to promote the overall listing of state-owned assets and introduce social capital so as to truly complete the reform of state-owned enterprises' mixed ownership.Greenland Group is the fifth-largest state-owned enterprise in the real estate industry of China.In July 2013,with the support of the Shanghai State-owned Assets Supervision and Administration Commission,Greenland Group began planning to go backdoor and land on the A-share market.In August 2015,Greenland Group completed the backdoor,and officially landed on the A-share market.This article uses the case analysis method to investigate the Greenland Group backdoor listing case,and proposes the different understanding in backdoor listing which caused various ways to handle the corporate income tax due to policy ambiguity and the diversity of transaction methods.And then compares the tax burden of both parties in order to provide corresponding reference for other companies who intend to go list through a backdoor listing,and reducing tax risks and ensuring the interests for them.This article first introduces the basic conditions of the backdoor and the Greenland Group's motives to go to the capital market through backdoor listing.It wants to expand the financing channels on the one hand in order to maintain the company's daily operations and subsequent expansion,and on the other hand to comply with the requirements of the state-owned enterprise reforms,so as to stimulate the vigor of state-owned enterprises,as well as reduce the loss of state-owned assets and realize the transformation and development of enterprises.Afterwards,this article discusses the tax burden that different parties need to undertake in the process of backdooring Greenland Group,and compares the burden that companies should bear under different understandings and different tax treatments.Finally,this article analyses the existence of risks of Greenland Group after the completion of the backdoor,including tax risk,financial risk and market risk,and then puts forward corresponding recommendations for them: before the backdoor listing,Greenland Group should strengthen tax-business communication,in the mid-term it should select proper ways to handle and when the backdoor listing completed,the financing channels should be expanded and corresponding risk warning mechanism should be established to effectively avoid risks.