Research On Tax Treatment Of Compensation For Performance Commitment Of S Company On Gambling Agreement

In order to reduce the risk caused by the information difference in the process of enterprise merger and integration and promote the smooth progress of the transaction,the betting agreement has become a common method in enterprises.However,our tax law does not set specific provisions for the compensation of performance commitment after gambling,which leads to different views on tax treatment between tax authorities and taxpayers.Therefore,it is of great significance for the improvement of our tax system to properly solve the tax treatment problems caused by performance commitment compensation in the process of gambling agreement.This paper selects typical cases,introduces the specific regulations and implementation status of gambling contract,analyzes the tax treatment process of S Company when obtaining performance compensation,explores the differences between S Company and tax department in the treatment of performance commitment compensation in gambling agreement and the existing problems.Finally,on the basis of learning from domestic and foreign experience in the tax treatment of gambling agreement,From the legal system construction,supervision and accounting,this paper puts forward some suggestions to optimize the tax treatment of the performance compensation of enterprise gambling agreement.Found:(1)In the gambling,W company should make corresponding performance compensation to S Company,but there is a dispute between S Company and the tax Administration on whether the performance compensation obtained by S company should be taxed,that is,S company will take the performance compensation obtained by the gambling as a profit and loss transaction and record it into the "non-operating income",and the tax administration will ascribe the cash compensation obtained by S Company to the shareholder donation.As a result,the tax treatment of performance commitment compensation generated by the two parties is not unified.(2)After sorting out the causes of the problems in different tax treatment,it is found that the case companies did not make sufficient preparation before gambling,the lack of unified tax regulations on gambling agreement,the lack of clear accounting treatment rules and the imperfect legal and regulatory environment.(3)Combining the domestic and foreign tax treatment of betting agreement and the situation of the case company,drawing on the domestic and foreign tax treatment methods,proposed that the enterprise should adopt the tax treatment method of "pre-payment + final settlement";The government should further improve the legal system construction,reduce the lag of tax law,standardize information disclosure,strengthen supervision,perfect the relevant accounting system of gambling agreement subsequent compensation,and perfect our tax and accounting system construction.This paper takes the tax treatment of performance commitment compensation of gambling agreement as the research content,points out the reasonable tax treatment of performance commitment compensation of gambling agreement through the analysis of case companies,hopes to solve the existing problems of tax treatment,and provides advice and reference for perfect the construction of our tax legal system and accounting system.