Chapter 1093: A Huge Tax Loophole

[Please keep in mind the domain name of this site" ", or search in Baidu: Sanlian Literature Network]

Fan Wuxian has never liked to listen to tax experts fool around. Especially when it comes to so-called tax avoidance.

Naturally, this is also related to the fact that the main income of Fan's Investment Group is still in the overseas part, although the business volume in China is also extremely huge, and the income is quite large, but it is still much worse than the overseas revenue, so for this part of the income, Fan Wuxian has no intention of playing any tax avoidance methods at all.

In fact, Fan Wuxian has long realized that absolute windfall profits are easy to put the group on the road to extinction, even like Bill Gates or Warren Buffett and the like abroad, they also know the truth, so after everyone has achieved a career and reached the peak of wealth, they will eventually turn their focus to charity, and consciously let most of their wealth be used by the people.

On the other hand, these rich people in China are basically still in the stage of accumulating wealth at a low level, and their thirst for money is like a fly chasing a smell, where there is a smell of blood, they will immediately rush to where, in order to accumulate wealth, they can trample on most of the laws of the world, and find all the ways to make a fortune from minerals, low yields and state-owned assets.

This kind of primitive accumulation is something that Fan Wuxian quite disagrees with. No matter what the future development will be, but the means of making a fortune through this way in the early stage will eventually be counterattacked, as the so-called eating my spit out, taking my back.

After all, as long as your foundation is on the mainland, as long as your ass is not clean, as long as the government is dissatisfied with you, then trying to clean up your affairs is just a matter of will, and the whole system is pressed on a certain group, as simple as trying to crush a fly to death.

In fact, this is not Fan Wuxi's subjective conjecture, but the reality that has existed for so many years, how many people have been wiped out on the rich list that year, and those are all lessons from the past.

Generally speaking, there are only two ways to survive in the domestic system without flaws, one of which is to enter the mainland after Fan Wuxi, who has grown into a large group overseas, has inexhaustible funds, and has taken root in industries that others cannot afford to invest in.

Another is to take a completely high-tech road, the technical starting point is very high but the initial start-up capital is very small, so you can also take a road that others can't copy, so that people can't find anything wrong.

As for what petty tricks you want to play on tax issues. It's better not to.

Whether it is China or foreign countries, for the lifeblood of the country, are very important, although there are big problems and big loopholes in the current domestic tax system, but that is the limit of the system, if you yourself also have a contemptuous heart, think that others can not catch your handle, it is a big mistake.

As long as you make a mistake, you are not afraid that no one will be able to magnify your mistake 10,000 times, stomp you flat from the commanding heights of morality, and then step on 10,000 feet, so that you will never be able to turn over, which is also a common method in China.

If it is overseas, tax avoidance is also a non-illegal right of taxpayers.

However, tax avoidance is generally contrary to the legislative consciousness of the tax law, and it is an act of taking advantage of the deficiencies of the tax law to carry out anti-restriction and anti-control, but it does not affect or weaken the legal status of the tax law. Tax avoidance is essentially a means for taxpayers to use the rights granted by the tax law to protect vested interests on the premise of fulfilling their legal obligations.

Therefore, tax avoidance does not, will not, and cannot fail to fulfill the obligations prescribed by law, and tax avoidance is not a resistance and confrontation of statutory obligations, but the right that taxpayers should enjoy, that is, taxpayers have the right to choose and make decisions in accordance with the law.

For example, many people use the insurance system to avoid taxes. This is contemptible logically speaking, but legally justifiable, but there is obviously a degree of problem in this, once it is overplayed, it will still be a problem.

It is also the basic power of the state to take measures to amend and adjust the tax law exposed by tax avoidance activities, which is the only correct way for the state to deal with tax avoidance. In this regard, some well-known precedents and judgments have long given a relatively clear answer.

For example, the famous American judge Hand once pointed out that it is understandable for people to reduce their tax burden by arranging their own activities. In order to avoid or reduce the tax burden, people can make arrangements for their activities in advance to achieve the goal of reducing or exempting the tax burden according to the law.

British parliamentarians have also pointed out in the case of "Commissioner of Taxation v. Archduke Winster" that anyone has the right to arrange his own business in order to receive treatment of underpaying taxes in accordance with the law, and he cannot be forced to pay more taxes, and tax avoidance does not mean that taxes are illegal.

Therefore, there is basically a consensus among all countries, that is, only tax evasion is a typical tax violation of the taxpayer. The so-called tax violation refers to the violation of the tax law by the subject of tax legal relations in the process of tax collection and management.

The existence of tax violations is the basic prerequisite for pursuing tax legal responsibility.

Tax violations include the violations of taxpayers and withholding agents, and the violations of tax authorities, i.e., tax authorities and tax personnel. The illegal acts of taxpayers include violations of the tax management system, as well as tax evasion, tax resistance, tax fraud, tax arrears, etc.

It is undeniable that in the current economic life in China, a considerable part of the various tax avoidance behaviors of enterprises, especially multinational enterprises, may have crossed the line and stepped into the field of illegality. That just shows that the focus of tax work should be to crack down on all kinds of tax violations, including tax avoidance.

According to the estimation of a study on the problem of tax loss in China, from 1995 to 2,000 years, the absolute amount of tax revenue lost in each year was more than 400 billion yuan. In 1995, the loss of domestic revenue was $447.4 billion. The tax revenue for that year was 603.8 billion yuan, and the tax loss rate was as high as 42 percent.

In the past 2,000 years, China's tax revenue loss was 444.7 billion yuan, and the tax revenue of that year was 1,258.2 trillion yuan, and the tax loss rate was 26 percent, a decrease of 16 percentage points.

This change also shows that in recent years, remarkable results have been achieved in strengthening tax supervision and cracking down on tax violations and crimes.

According to incomplete statistics, China's annual flight of funds is about more than 70 billion yuan, and the amount of tax evasion is at least 50 billion yuan.

It is no wonder that the common people say that if they want to do business, they all rely on industry and commerce, if they want to get rich, they all rely on taxes, if they want to get fat, they rely on tax evasion.

Judging from the recent revelations of the windfall profits of some enterprises by the domestic media, tax evasion is still a magic weapon for some companies to make profits. It can be seen that cracking down on tax violations is still the top priority!

In the game of tax avoidance and anti-tax avoidance between the government and enterprises, it is a good time to improve tax laws and regulations. Conservative official estimates estimate that transfer pricing is a means of transfer pricing that causes China to lose more than 30 billion yuan in tax revenue every year.

Since there are such big loopholes, it is obvious that there are problems in the system, and if you don't have enough to review your relevant laws and regulations in a timely manner and quickly improve your tax management level, it will be futile to do anything.

As a matter of fact. Fan Wuxian still has a guess that has not been spoken, that is, there is still a department-level problem in the tax department, with the help of the control of legislative power, deliberately leaving countless operational loopholes in the tax law system, in order to achieve his purpose of using the power of law and regulation interpretation to make profits for himself.

It's just that in this way, although they are greedy for a lot of taxes, the tax loss caused to the country is quite large.

At this time, it is naturally necessary to crack down on tax evasion and tax evasion, and it is also necessary to standardize tax avoidance methods, but we should not sort out the relationship from the root and plug the loopholes in the system. Everything is still meaningless.

At the same time, the anti-tax avoidance storm could have many negative consequences. First of all, it may cause theoretical confusion and belittle or even depreciate the non-illegality of tax avoidance. secondly, it may shift the focus of tax work, causing the emphasis on tax avoidance and the crackdown on tax evasion. Thirdly, tax avoidance can be divided into two categories, one is reasonable tax avoidance, and the other is illegal tax avoidance, which is very difficult to distinguish and judge, so general anti-tax avoidance may cause some confusion in practice

According to a large number of facts revealed in recent years, tax evasion and tax evasion are often associated with tax evasion, and emphasizing tax avoidance and lightly cracking down on tax evasion may be the desired orientation of **. It can be seen that anti-tax avoidance is important, but more important than anti-tax avoidance is to crack down on tax evasion.

Seeing the bunch of information and suggestions that Fan Wuxian had sorted out, Fan Heng immediately threw himself into it, and spent the whole morning studying these problems, until it was almost lunch, and then he came back to his senses.

"Call Wuxi, call him for dinner, and say that I plan to ask Boss Zhu to discuss this matter, and it should be better for him to accompany him—" Fan Heng said to his secretary.

The secretary answered and turned to contact Fan Wuxian.

Fan Heng himself leaned back, sat in his chair and pondered, Fan Wuxian put forward quite a lot of examples, which can already prove that the current tax policy is full of holes and loopholes, if it is not rectified as soon as possible, the consequences are very serious, after all, the overall economic income is growing, and the absolute amount of tax loss is also growing.

He is still in office now, he can speak, and Boss Zhu is also a jealous and hateful person, if the two of them unite to put forward this motion, the entire Politburo also needs to think carefully, and then shift the focus of work, and now it will not be long before the term of office of this government will expire, if the problem cannot be solved within the term of office. So no matter whether you stay in office next time or not, you will leave some regrets.

Since it is still useful to talk now, we must do more things that benefit the country and the people.

There are no pop-ups