Research On Tax Planning Of Hainan JR Real Estate Development Company Limited

As an important industry of China's economic development,the real estate industry enjoys a great boom which causes problems such as high housing prices and a chaotic market at the same time.In order to control property prices and stabilize the real estate sales market,the state and local governments have continuously exerted various adjustments.Facing the rising costs of materials and labor power,real estate enterprises find themselves in a tight corner over their sales.Therefore,the reduction of costs in a severe living environment is an urgent issue regarding the survival of real estate businesses.When a real estate development project is set up,it may be heavily taxed by VAT(business tax before May 1,2016),urban maintenance and construction tax,education surcharge,local education surcharge,land use tax,land value-added tax,and property tax and so on.Therefore,tax planning has become a "make or break" issue for real estate development enterprises under the background of strict government regulation and strict supervision,In this study,tax planning for real estate is explained and analyzed by introducing an example.The example states specific tax-planning ideas for different development stages of a real estate company called Hainan JR Real Estate Development Company Limited(hereinafter referred to as "JR Company”).To reduce the tax burden and maximize profits of JR company,tax planning ideas are provided during different stages such as preparation,construction,sales and maintenance.The first part of this study outlines the background,purpose,significance of real estate tax planning research,ideas and methods,and related literature reviews.The second part organizes the defined characteristics,basic principles and related policies of real estate tax planning.The third.part is a brief introduction of JR Company's circumstances,including the development progress of the real estate project site,the basic situation of JR Company,business characteristics,the possibility and necessity of tax planning and the status quo of tax planning management.The fourth part is an analysis of the tax planning ideas for previous JR Company projects.The fifth part is a specific case study which provides a tax planning strategy for new projects developed by JR Company.The sixth part mainly analyzes the risk prevention possibilities of tax planning.The seventh part is the conclusion,which elaborates the inspiration and overall evaluation of this specific case.