From the concept of tax planning, we can see that tax planning has two purposes, one is to reduce the tax burden, and the other is to reduce tax risks.

Reducing tax burden can be considered as the risk of overpaying taxes from the perspective of risk. Why do enterprises pay more taxes? First, it may be because the company doesn't know that there are preferential policies to enjoy. Secondly, it may be because the enterprise did not make tax planning or did not make tax planning properly, so it did not enjoy preferential tax policies. Some preferential tax policies can only be enjoyed after the enterprise declares and recognizes them, and some preferential tax policies can only be enjoyed after the enterprise creates conditions to meet the requirements of preferential tax policies. In addition, tax planning needs to pay attention to many details, and improper tax planning of enterprises will also lead to enterprises not enjoying preferential tax policies. Reducing the risk in tax risk mainly refers to the risk that enterprises pay less taxes. Some enterprises may feel that they have paid all the taxes they should pay, but enterprises can ask themselves, can our enterprises stand the reports of contradictory employees, especially financial personnel? Can it stand the inspection of the tax department? If the answer is no, then there will be a series of expenses, such as paying taxes, late fees and fines, which may seriously make business owners bear criminal responsibility and go to jail. Tax planning is mostly the application of tax rules, and the application of rules requires a thorough and thorough understanding of the rules. Every rule of tax planning should be understood as deeply as analyzing the concept of tax planning.