1. Conversion of cost-to-cost items: Convert expenditures belonging to cost-cost items into expenses to achieve the purpose of current tax deduction, or convert expenditures belonging to expense items into expenses Cost-costization has achieved the purpose of controlling the pre-tax deduction ratio and current profits.
Reason: Because cost consists of direct labor, direct materials, and manufacturing overhead, and direct labor, manufacturing overhead, selling expenses, and administrative expenses are easily confused, so It should be a vulnerability in this operation. In addition, freight and labor handling included in direct materials are also easier to integrate with administrative expenses.
2. Conversion of expenses to capital (property): Turn accounting transactions belonging to expense items into assets, and deduct pre-tax deductions from depreciation; or convert them into assets Expenditures on asset accounts are directly recognized as expenses and deducted before tax in the current period.
Reason: Some asset values themselves include expenses, so other expenses are integrated into the asset value, and vice versa; in addition, asset repairs, borrowing costs, etc. themselves have to confirm the boundaries manually. Virtualization; the basis for recognition of fixed assets and intangible assets is easier to virtualize.
3. Conversion of expense items: Convert part of the excess portion of pre-tax deductions with rate restrictions into other expense items with loose restrictions or unlimited restrictions to achieve the goal The purpose of full pre-tax deduction or to reduce relevant taxes, etc.
Reason: Expense confirmation is based on invoices, and invoices are easy to be fictitious.
4. Expense withholding/deferral/selective allocation: In order to control the current pre-tax profit, withhold expenses to postpone tax payment, or for other purposes ( Such as equity transfer price, current performance), exaggerating the current profit and choosing to defer recognition. Selectively allocate expenses: adjust the allocation ratio on each expense item to control the taxes and fees caused by the item (such as adjusting land value-added tax).
5. Cost item conversion: Convert items that can be carried forward to cost in the current period into other items that cannot be carried forward to cost, or vice versa. Do it.
6. Cost advance, delayed recognition/selective allocation: this periodCarry forward more or less when carrying forward the cost and make up for it in the next period, or choose the cost-cost apportionment method to achieve these two purposes.
Reason: The cost carry forward regulations are vague.
7. Advance income, delay recognition/selective apportionment: carry forward more or less income in the current period and make up for it in the next period, or choose income apportionment to achieve these two purposes.
Reason: The revenue recognition regulations are vague.
8. Conversion of income items: Adjust the total income among various income items, such as converting main business income into other business income or non-operating income, In order to achieve the purpose of controlling turnover tax or highlighting the performance of the main business.
9. Liabilityization of income/capitalization of expenditures: Temporarily recording income as other accounts payable, temporarily recording expenditures as other receivables, so as to postpone tax payment or not Pay taxes.
10. Inflated increases/decreases in income, costs, and expenses: Artificial inflated increases/decreases in income or costs, expenses, and error adjustments Based on this, to delay the tax period or for other purposes.
11. Transfer pricing: Artificial price processing with external transactions, lowering or raising prices, and making up for each other's small treasury in the form of other expenses to achieve the purpose of tax avoidance Purpose.
12. Asset and responsible name conversion: Change the asset category name of fixed assets, change its depreciation life, and link accounts receivable to other accounts receivable. Tax avoidance occurs by linking accounts received in advance to other accounts payable.
13. Fictitious transaction method: Record non-existent transaction contracts, causing capital outflows, increasing current period expenses, and achieving the purpose of reducing income tax.
14. Expenses directly offset against income method: Because income involves turnover tax, expenses are directly offset before income is recognized to achieve the purpose of controlling turnover tax, such as: commercial discounts It will become a reduction in selling price in the subsequent period.
15. Reorganization and Transfer Law: Use equity transfer, asset transfer, debt restructuring, etc. to transfer funds or income to achieve the purpose of tax avoidance.
16. Corporatization of private expenses: Converting private expenses into company expenses can reduce personal income tax and increase the deduction of expenses before corporate income tax.of. For example: personal car fuel and rent payments are handled by the company.
17. Income/Cost/Expense Transfer Law: Separate Civil Code, transfer of income, costs and expenses to other companies or subsidiaries, can reach The purpose of differential tax rate treatment. For example: filling and reimbursing the expenses of each company, and compensating the small treasury to achieve the respective balanced and limited expenses.
18. Inflated increase/decrease circulation process: Work hard on the circulation process, add one more circulation process, and one more income amount; each has a rate limit on the deductible range of expenses Increase, or some expenses can be virtualized.
19. Use of financial instruments method: Use financial instruments such as stocks, futures, and foreign exchange to conduct transactions where it is difficult to control future prices; control the price during the transaction at a low level, After the transaction, it becomes the investment income of the financial instrument, avoiding part of the turnover tax.
20. Group operation: Balance the expenses of each company in the group to achieve the purpose of overall tax payment. For example, if a software company is established within a group, there is no limit on salary deduction of 1,600 yuan. Employees of other companies are staffed in the company, and their salaries are paid in the company, while the employees work in other companies, etc.
