The Study of International Tax Planning Between Taiwan and China

• Main Authors: Ming-Lin Li, 李名琳
• Other Authors: Yao-Chih Hsieh
• Format: Others
• Language: zh-TW
• Published: 2005
• Online Access: http://ndltd.ncl.edu.tw/handle/28243178535360999787

碩士 === 逢甲大學 === 會計與財稅所 === 93 === Because of China government’s tax law, it gives an opportunity for the Taiwan investors. Therefore, we introduces the tax law of China in which Taiwan investors should pay attention to at the first part. At the second part discusses research papers, we adapt the model of Gupta and Mills(2002) and to make the hypothesis of Taiwan investors’ tax burden. We discuss the listed company which invest in China during 1998 to 2003 as samples and assume that adapt the formula apportionment approach. The forumula apportionment approach affects the tax burden of all Taiwan investors. And we discuss whether the Taiwan investors have room to invest in China. The results show as below: （1）There are 90.7 percent of Taiwan investors who invest no more than 10 states in China. The result indicates that the state number is 17 or 18 and it can minimize the tax burden. （2）We take the accountant, counsel and consulting fees as the cost of tax planning. The result shows that the enterprise increase per dollar of tax planning to get the benefit of 170,000 dollars on average. The Taiwan investors can make more tax planning to lower the tax burden in China. （3）We adapt the formula apportionment approach. It shows the effect of enterprise tax burden. The results indicate that Taiwan investors still have room to invest in China in order to lower the effective tax rate.