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What are the "hidden rules" for purchasing materials and equipment?
What are the "hidden rules" in the procurement of materials and equipment? The teacher consulted by Zhong Da will give you an answer for your reference.

First, the hidden rules of materials and equipment procurement market

1) rebate

The procurement of materials and equipment, as a construction enterprise, is inevitable for construction. But where economic interests are involved, if supervision is not in place, there will be black holes. That is to say, as a construction unit, the material buyer of the construction enterprise buys materials, and the material supplier promises to give the buyer and the relevant person in charge a certain percentage of benefits, which may be cash, shopping vouchers, items, etc. It may also be to provide overseas travel expenses, overseas inspection expenses or children attending prestigious schools or even studying abroad. Then, some people may ask, is this material supplier stupid? I don't know if I have any money in my pocket, but I have to give it to the buyer for nothing. Is the material supplier really stupid? No, they are really smart. These benefits will not be given in vain, nor will buyers and relevant responsible persons. Once they have benefited, as the saying goes, they are soft-spoken and short-handed. Once the buyer is engaged, the material supplier can sell some fake and inferior products as genuine brands or high-quality materials, and the buyer and the relevant person in charge have to turn a blind eye to buy these materials. It can be seen that material suppliers are not stupid, but take small risks. They hold the idea that children can't catch wolves, and give the material buyers and relevant responsible persons a fee, that is, a rebate.

2) Materials provided by Party A

As a construction enterprise, purchasing materials and equipment should be an obligation. Materials and equipment are the flesh and blood of buildings, and only materials can be used for construction. However, in the deformed environment, the purchase of materials and equipment is self-evident, so like "Tang monk meat", everyone wants a piece of the action. In building construction, the owner of Party A who has the right to "kill and rob" will naturally not be negligent in this respect. Therefore, in the procurement of materials and equipment, the owner of Party A will specify which materials are supplied by himself or the designated suppliers, or simply specify in the construction contract which materials and equipment are provided by Party A and the owner. The materials of this department are referred to as "materials supplied by Party A" for short. These materials and equipment are sometimes an important part of the whole material, accounting for a large proportion of the material cost. "Designated" material suppliers often sell at a price higher than the market, which brings additional costs to construction enterprises. When the "designated" material supplier has a personal relationship with the owner, the amount of this cost increase will even be quite large.

3) "human" suppliers.

What is a "human" supplier? That is to say, in the process of purchasing materials and equipment, construction enterprises should have bought from suppliers with formal business licenses and good reputation, but some so-called related households, powerful departments, departments inextricably linked with the production and operation of enterprises, and even some departments that master the production and operation of enterprises, such as industrial and commercial taxation, banks, street governments and other departments, have introduced some material suppliers through various channels, but these suppliers have not. Called "Care", it is actually clear that enterprises should buy materials and equipment from these "human" suppliers, and even what materials and equipment construction enterprises need recently, people are also very clear, and they directly sell them door-to-door in the name of "so-and-so department". Such "human feelings" will be recognized by such construction enterprises if they don't recognize them.

4) The buyer purchases the purchase invoice on behalf of the buyer.

As we all know, invoices are the proof for businesses to pay taxes to the country. In our general concept, paying taxes is generally the obligation of the seller, that is, the merchant. However, according to Lao Yin, in the material and equipment procurement market, it is almost a "hidden rule" for buyers to pay taxes for businesses. But this "hidden rule" is not from the mouth of the merchants, but is reflected by the price comparison of materials. For example, when purchasing materials, the merchant will clearly tell the buyer that the price of materials with invoices and without invoices is different. If you want an invoice, you have to add tax to the original price. Maybe everyone will find it incredible, but this is already the "hidden rule" of the material procurement market. In the words of material suppliers: everyone does. The reason is that this is a way for suppliers to avoid taxes, prompting buyers to ask for less invoices, so they also pay less taxes. Even if buyers do ask them for invoices, they will naturally pass on their obligations to buyers. "If you want an invoice, you have to add money."

5) The underlying causes of these hidden rules.

The transformation of material supply market from seller's market to buyer's market. In the era of planned economy, everything is planned, all materials and supplies are supplied as planned, and there are only a few manufacturers. Some materials are in short supply. Due to the lack of manufacturers and underdeveloped economic circulation, as the buyer's construction unit, the construction period is tight, the project needs, and materials are urgently needed, so the seller's market has become the mainstream of the market. There was no kickback at that time. With the development of market economy, the material market has changed from a seller's market to a buyer's market. The construction unit is not only aimed at one or two material suppliers, but also more manufacturers and more production and sales links. From production to sales, there are many intermediate links, including manufacturers and big agents, and there are many small agents below the big agents, that is, many shops and facades in the building materials market, that is, those material suppliers who deal directly with buyers. The choice of construction units is no longer one-to-one, one-to-two but one-to-many, and there is market competition among material suppliers. Where there is competition, there must be winners and losers. So, what can we do to beat our competitors and get the right to deliver goods? Material suppliers are wondering, and buyers are wondering. As a result, in the absence of formal and legal market norms, there was bad competition for goods, and the first person to eat crabs appeared. Give the material buyer a certain benefit fee, which may start with inviting relevant leaders and material buyers to dinner, and then develop into giving cash to the goods. When the two sides got the message, kickbacks appeared and "hidden rules" were formed. Therefore, the kickback phenomenon is formed by the transformation of market economy from seller's market to buyer's market, which is caused by bad competition in the market. It is formed by material suppliers, relevant leaders of the construction party and purchasers driven by economic interests, and there is no market code of conduct and quality supervision.

The existence of various interest relationships. In the informal market environment, driven by special economic interests, all stakeholders have seen the profitability in the process of purchasing materials and equipment, and put pressure on the construction party. For various reasons, the construction party has to insist, or do it for the purpose of tackling key problems, and sometimes it is willing to appear. Therefore, the phenomenon of "a-supplied materials" and "human-supplied materials" appeared and existed.

The market supervision system is not perfect. Inadequate supervision by relevant construction administrative departments and tax authorities leads to the appearance and existence of the phenomenon that the buyer buys invoices on behalf of the buyer in the procurement of materials and equipment.

Second, the harm caused by hidden rules

1) If the material quality is not up to standard, it is shoddy. After the supplier gives the buyer a certain percentage of kickbacks, it doesn't mean that the supplier doesn't make money, but that he wants to make profits and make money. What should I do? We can only make an idea from the cost of goods. If the quantity is large, the quality cannot be guaranteed. Therefore, the law of commodity value determines that we must earn great nominal use value with small value. Merchants steal the concept and relationship between value and practical value, and exchange fake and shoddy use value for the value of buyers. Builders pay a certain value for the use value sold by merchants, and this use value is fake and shoddy. Unqualified goods, that is, fake and shoddy materials, "wool is on the sheep", while the material buyers are understaffed and soft-spoken, turning a blind eye and letting fake and shoddy materials mix into the purchased materials and flow into the construction site.

2) The project construction quality is unqualified, and the potential safety hazard increases. Fake and shoddy materials enter the construction site, so the direct result is that the project quality is unqualified. Building materials are the flesh and blood of the project, and the quality of the materials can't pass the inspection, so the quality of the project is of course difficult to guarantee. The type of steel bar is wrong, the concrete grade is not enough, the safety net is not full, the wooden keel is brittle, and there are many safety hazards. Once an accident happens, the consequences are unimaginable. As a result, the bean curd residue project appeared, the building collapsed before it was built, the bridge was broken with a little load, and countless engineering quality accidents happened. The existence of a large number of hidden dangers in building safety has greatly threatened the life and property safety of the country and people.

3) The owner's construction cost increases. The existence of kickbacks, materials supplied by Party A, human procurement and purchasing invoices is not only caused by the objective environment, but also due to the fact that material suppliers, material buyers and relevant responsible persons are driven by economic interests, greedy for profits, harming public interests and enriching private interests, eating and drinking for free from the state and enterprises, thus shifting the cost of procurement kickbacks to enterprises and countries. On the one hand, enterprises have to pay high material procurement costs. Who moved the cheese of the construction party? Suppliers, material buyers, relevant departments and relevant leaders put them into personal pockets. Not only that, the construction party has to bear the intangible costs such as corporate reputation damage, image discount and credit crisis caused by unqualified project quality.

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