Study On The Income Tax Policy Of Overseas Mergers And Acquisitions Of Enterprises

Mergers and acquisitions(M&A)is an investment behavior that integrates resources,expands business scale and realizes mutual benefit and win-win situation among enterprises.In recent years,with the implementation of the "going global" strategy and the "one belt and one way" initiative,more and more domestic enterprises start to focus on the international market,actively participating in overseas M & A activities.In the process of overseas mergers and acquisitions,tax cost is the key issue that enterprises have to consider.Tax policies,especially income tax policies,can effectively guide enterprises to control operating costs,avoid investment risks in all aspects of M&A,and promote the smooth progress of M&A activities.Therefore,as an important factor affecting the overseas M&A of Chinese enterprises,it is of great significance for enterprises to study and discuss the income tax policy in depth so as to make better use of overseas markets and resources,expand transnational business,promote the development of enterprises and promote the sound operation of our economy.Choosing the classic case of overseas M&A of Chinese enterprises-Geely Group's acquisition of Swedish Volvo cars,this paper uses the typical to general analysis ideas,combines with our country's income tax policy,analyses and evaluates the acquisition behavior,presents the impact of income tax policy on the acquisition behavior,combines tax theory with tax practice closely,and aims at the current overseas M&A of enterprises.The problems existing in the tax policy are discussed,and feasible suggestions for improvement and optimization are put forward.Firstly,the concept of overseas M&A is clearly defined,and the factors affecting overseas M&A are analyzed,as well as the tax benefits in overseas M&A.Secondly,the author focuses on the realistic investigation of the income tax policy on overseas M&A of enterprises.Thirdly,the paper takes Geely's acquisition of Volvo cars as an example to analyze the applicable income tax policy in the acquisition process and the specific situation of the application of income tax policy.Then,the Chapter IV focuses on the defects of the income tax policy of overseas mergers and acquisitions of enterprises.Finally,it puts forward suggestions on optimizing the income tax policy of overseas mergers and acquisitions of Chinese enterprises.On the one hand,it clarifies the important principles related to income tax of overseas M&A of enterprises.On the other hand,in view of the problems existing in the case,it puts forward some suggestions on optimizing the income tax policy of overseas mergers and acquisitions from the perspective of China's income tax policy and international tax coordination.