Blog Tax planning
Tax planning is active and targeted legal action of a company that is aimed at obtaining tax benefits (reduction of taxes, fees, duties and other obligatory payments). Tax benefit is a reduction in amount of tax liability, which is achieved by reducing the tax base, obtaining a tax deduction, benefits, applying a lower tax rate, as well as obtaining the right to a refund (offset) or tax refund from the budget.
International tax planning helps to avoid tax payments to the state budget or to reduce their amount within the scope of law. These actions consist in the rational organization and conduct of business, so that there is no need to pay additional fees and taxes. Budget payments should be planned already at the stage of creating a commercial company or when it reaches the international level.
Tax planning and tax optimization is important part of entrepreneurial activity. These are legal measures that business takes to reduce tax burden: fees, duties, mandatory payments. Goal can be achieved through benefits, deductions, lower rates, right to return.